The first signs that Chelsea intend to curb their lavish spending have emerged during the fraught negotiations over a new contract for captain John Terry. The 26-year-old defender, the club’s talisman and most valuable long-term asset, has been told that any deal has to comply with new restrictions. This is despite Chelsea initially suggesting a nine-year deal taking the England captain to the end of his career.The club intend to cap the amount of money they spend on wages at the current 76 per cent of turnover and for the financial year ending June 30, 2006, salaries accounted for £114million of the £150m turnover.
This does not mean that Chelsea will not pay Terry £120,000-a-week parity with top earners Michael Ballack and Andriy Shevchenko that the player believes he is worth. But the extra investment in JT will have to come at the expense of others in the squad.
This firm negotiating stance shows that owner Roman Abramovich, having just settled his mammoth divorce, is starting to count the hundreds of millions it is costing him to fulfil his ambition of making Chelsea the worldÂ’s most successful club.
Abramovich also knows that he faces a multimillion pound compensation battle with boss Jose Mourinho, who looks increasingly likely to depart at the end of the season. Mourinho is under contract until 2010 and will want more than the £4m it cost to sack predecessor Claudio Ranieri.