Rangers and Celtic alerted to bold UEFA salary plan that could impact transfers as idea not 'ditched'

Rangers and Celtic have been alerted to a willingness from UEFA to impose a salary cap for clubs in European competitions.

The Hoops took part in the Champions League this season, but finished bottom of their group, while Rangers were recently knocked out of the Europa League at the last 16 phase by Benfica. Both will look to go far on the continent next season, with a new Swiss model coming to give competitions a jolt.

UEFA meanwhile are keen on bringing new financial measures into the game, according to the Times. It is claimed that the organisation has, for now, been forced to shelve ideas for a salary cap for clubs in continental action after suffering court defeats in attempting to limit agents' commissions.

The agents won their case against FIFA in Europe and against the English FA after claiming the suggested caps breached competition law. Despite the loss, it is stated "UEFA has not completely ditched the idea of a cash limit that clubs could spend on wages, transfers and agents fees, sources say the court cases have caused European football's governing body to put fixed salary caps on the back-burner."

Rangers and Celtic are superior financially when it comes to the rest of Scottish football. But the tides shift in Europe where they are regularly the side, particularly in the Champions League, who have the smallest budget of the two competing teams.

The football authorities were working towards a proposal that would satisfy the EU, and it's claimed "with the idea being it would run alongside the new squad-cost rule, under which clubs in UEFA competitions are only allowed to spend 80 per cent of revenues on wages and transfers in 2024, dropping to 70 per cent in 2025." The players union has also rejected the salary cap idea.