A Professional Football Compensation Committee (PFCC), appointed under EFL and Premier League regulations, has recently ruled that Chelsea must pay Exeter City a compensation fee for Ethan Ampadu.
The young defender agreed to join Chelsea last summer, although the matter was referred to a tribunal as the two clubs were unable to agree a compensation fee.
The Committee met on Wednesday 18th April and decided:
- Chelsea must pay Exeter City an initial compensation fee of £850,000.
- In addition to the initial payment, a further fee of £450,000 is also payable. This fee incorporates an amount for the player signing a first professional contract, making five first team appearances and obtaining a senior international cap.
- Additionally, Chelsea are to pay a further sum of £250,000 on the player making 10, 20, 30, 40 or 50 first-team appearances – a potential further payment of £1,250,000.
- Finally, Exeter City will receive 20% of any profit made by Chelsea in selling the player to another club at any point in the future.
In setting these compensation fees, the PFCC takes into account the costs of developing the player, his age and playing record, the length of time he has been registered with his former club, the terms offered by both clubs, the status of the two clubs and the interest shown by other clubs in acquiring the registration of a player.
In accordance with the rules of the EFL, and in agreement with the Premier League and The Professional Footballers’ Association, the PFCC is responsible for setting the compensation fee for players under 24 where the club formerly holding his registration and the club next holding his registration fail to reach an agreement regarding compensation for training and development.
The PFCC comprises of an independent Chairman, and an appointee from the EFL, the Premier League, The Professional Footballers’ Association and the League Managers’ Association.