The Chief Executive of the Aviva Premiership, Mark McCafferty, has identified that player wage inflation amongst the top English clubs must be monitored.
The Rugby Football Union and some Aviva Premiership clubs signed an agreement at the beginning of the week, with the agreement being in excess of £225m.
There are some concerns that some clubs are earning more revenue per match than others, with this extra revenue leading to an increase in player’s salaries.
McCafferty spoke to BBC Sport, stating:
We have to strike the right balance on that.
We have to watch it, manage it, and be careful with it. There are concerns because we have to make sure that each club prospers over the next few years. It has to be financially sustainable.
McCafferty believes that with the funding being increased, it will be easier to spread it evenly across all clubs.
He continued to say:
There is significantly more investment going into the academies, and there is also a recognition of all of the rest of the infrastructure which clubs have been producing.
There is not as much of an increase going into player-related payments as there is going into other elements. So in that sense, it’s the right balance.
The current Aviva Premiership salary cap is at £6.5m, it will remain this figure until the end of the 2016/17 season, where it is expected to increase to £7m.
