The Mercury League has announced that from next season, the financial fair play penalties for clubs going into administration will be lessened, with the following rules to take effect:
Clubs in the Premier League:
Entering administration will incur an 8-point deduction
Clubs in the Second, Third or Fourth Leagues:
Entering administration will incur a 10-point deduction
All clubs:
A second insolvency event within 5 years will result in relegation
A third insolvency event within 10 years will result in expulsion from the Mercury League
For the purposes of these rules, the season will begin on 1st May each year, and end on 30th April. Any club entering administration after the end of the season will have the points deduction applied the following season. Any club entering administration after 1st March will have the points deduction suspended. Should the club be relegated, the deduction will be applied the following season, otherwise it will be applied immediately after the conclusion of the final league match of the season. Promotion, relegation and play-off places will only be decided following the application of any points deductions.
This decision has been made due to the fact that no club has suffered an insolvency event since 2012, and it was agreed by the majority of clubs that the deduction of half points was unfair due to the variation in the possible number of points deducted.
Clubs in the Premier League:
Entering administration will incur an 8-point deduction
Clubs in the Second, Third or Fourth Leagues:
Entering administration will incur a 10-point deduction
All clubs:
A second insolvency event within 5 years will result in relegation
A third insolvency event within 10 years will result in expulsion from the Mercury League
For the purposes of these rules, the season will begin on 1st May each year, and end on 30th April. Any club entering administration after the end of the season will have the points deduction applied the following season. Any club entering administration after 1st March will have the points deduction suspended. Should the club be relegated, the deduction will be applied the following season, otherwise it will be applied immediately after the conclusion of the final league match of the season. Promotion, relegation and play-off places will only be decided following the application of any points deductions.
This decision has been made due to the fact that no club has suffered an insolvency event since 2012, and it was agreed by the majority of clubs that the deduction of half points was unfair due to the variation in the possible number of points deducted.