SCMP (salary cost management protocol) limits spending on player wages to a percentage of club Turnover. Initially introduced during the 2011/12 campaign, SCMP was put in place to ensure teams in League One and League Two operate within their financial means. A salary cap was rejected by the PFA.
In League 1 clubs can spend a maximum of 60% of their turnover on wages.
Clubs relegated from the Championship into League One are permitted to spend an extra 15 per cent of their turnover on wages for their first season in the division, taking their threshold to 75 per cent.
There are no restrictions (in themselves) on the amount a club can lose or spend on transfer fees.
In League 1 clubs can spend a maximum of 60% of their turnover on wages.
Clubs relegated from the Championship into League One are permitted to spend an extra 15 per cent of their turnover on wages for their first season in the division, taking their threshold to 75 per cent.
There are no restrictions (in themselves) on the amount a club can lose or spend on transfer fees.