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The Premier League clubs have agreed in principle to a spending cap via a new referendum recently held.

This is according to Martyn Ziegler of The Times, who report that three clubs voted against the proposals, 16 in favour of the new cap, and one club abstained their vote.

Manchester United, Manchester City, and Aston Villa opposed the new proposals, while Chelsea chose to abstain from voting.

The aim of these proposals is to uphold competitiveness within the league, with clubs being assured that the cap will not lead to a decrease in spending from their current levels.

The new spending cap, known as ‘anchoring’, would mean that teams at the top of the table can only spend a proportion of the amount the bottoms clubs received in TV money.

However, for it to be passed it must first go through the AGM.

The Premier League Annual General Meeting (AGM) occurs at the conclusion of each season.

During this event, relegated clubs transfer their shares to the clubs promoted from the English Football League Championship into the Premier League.

At Shareholder meetings, clubs can suggest new regulations or modifications to existing rules.

The new spending cap is set to then be a big part of the agenda at the end of this season.

For the first time in history, the Premier League could then be subject to spending caps for its teams.

The initial vote occurred in London on this Monday, with additional deliberations on specifics, such as the cap’s magnitude, slated for discussion before the league convenes for its AGM in June.

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