FIFA, the governing body of world football, has approved a new set of changes aimed at footballing agents including introducing a cap on agent fees from any deals.
In addition, the players’ representatives will have to take an exam to prove their credentials. The governing body has made the complete details of the overhaul available on its website.
FIFA president Gianni Infantino was looking for a swift solution to the problem as fees paid by clubs for the services of intermediaries ballooned to $622.8 million in 2022, a 24.3% increase in their spending on fees compared to 2021.
But after the changes which were agreed upon at a FIFA Council meeting in Doha, agents can now earn a maximum commission of 3% for any transfer above $200,000 and 5% for deals under $200,000.
The new regulations come into play from Monday.
Under the new guidelines, agents must also make all transactions public which will allow the fans to see how much they are paid for each transfer deal brokered.
Another major change includes the introduction of a mandatory licensing system and the prohibition of multiple representations to avoid conflicts of interest.
The cap on agent fees by FIFA is seen as a move to make one of the most complicated financial matters more transparent for the fans.
It has long been rumoured that agents, such as the now departed Mino Raiola, took the majority of their clients’ transfer fees and offered his clients to only the clubs willing to meet his financial demands.
The leading agents have voiced disapproval of the plan and are threatening legal action as the saga threatens to roll on.
