Football clubs to be punished for overspending

Last updated at 10:24
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BBC football reporter Ben Smith explains the story...

The Premier League has said it will punish clubs who spend too much money.

From next season teams will have points taken away if they break a new set of rules introduced to stop sides from going into debt.

Each club will not be allowed to lose more than £105 million over the next three seasons and will have to limit what they pay out in wages.

Manchester City, Liverpool and Chelsea all lost over £105 million over the last three years.

Clubs which already spend £52 million on players will only be allowed to increase the total amount of wages paid by £4 million each season.