In Europe, the top clubs spent money like water to get the best players in the world. To combat this financial dropping (as stated by Arsenal boss Arsene Wenger), the European footballing body UEFA has a Financial Fair Play (FFP) rule.
basic concept behind FFP is that clubs can't make more than a certain amount of
losses over several seasons or UEFA will punish them by not awarding them a license to
play in the Champions League or Europa League. The UEFA’s Club Financial Control Body say around 20 clubs may be prosecuted for breach of rules and top of the list are English Premier League title contenders Manchester City and reigning Ligue 1 champions
Paris Saint Germain (PSG).
I will say this; I'll believe the rule has bite when UEFA start banning clubs from the Champions League.
I don't believe they will. I mean just look at Manchester City. Theyposted losses of £149 million during the 2011-12 and 2012-13 seasons! What's there to talk about? They are clearly in violation of the FFP rules but so what? They have some of the best players in the world like Yaya Toure, Sergio Agüero, Samir Nasri, and Vincent Kompany. UEFA is going to stop these players from playing in their cash cow, The Champions League?
I don't believe it and it's obvious Manchester City owner Sheikh Mansour bin Zayed al Nahyan do not either. Until UEFA start banning top clubs from the Champions League, the FFP rule is not worth the paper it is written on.