Football Australia announces removal of cap for professional transfer fees

Football Australia’s (FA) efforts to implement a modern and progressive domestic transfer system in-line with football’s global market within the Australian game has taken a positive step forward after FA ratified the removal of the cap on transfer fees for contracted players.The removal of the cap on transfer fees for contracted players follows a lengthy consultation period with various stakeholders across the game after the release of FA’s Domestic Transfer System Transformation White Paper in January 2021 and means that clubs outside the A-Leagues will be able to negotiate a fee for the transfer of a player on a contract, with free market forces determining the value of the transfer.

Since 2007, the maximum value of a fee that could be paid for the transfer of a player under a player contract and transferring domestically has been capped to 50 per cent of the total salary owing to the player under their existing player contract.

FA Chief Executive Officer James Johnson identified the development as a solid step forward in FA’s plan to implement a modern and progressive Domestic Transfer System for Australian football, and will provide economic, sporting, and transparency benefits for the sport domestically.“The Australian football ecosystem has been disconnected and misaligned, both domestically and with global football,” Johnson said.

“Conflicting regulations domestically have also contributed to Australian football’s current player development challenges and the stagnation of the Australian football economy, despite the significant growth of the global football transfer market over the past decade.

“The removal of the transfer fee cap aligns Australian football with global practice where the international transfer market is usually worth $7 to $10 billion and players are transferred regularly during the transfer windows. Globally, it is common practice that a player can be signed by a club for up to five years and if they are transferred before their contract expires, the new club must pay a compensation to the previous club in line with market rates. This is known as a transfer fee.

“What we have seen because of the transfer fee cap being in place domestically in Australia is the opposite to what we see in global football because domestically, clubs have not been incentivised by the prospect of a potential transfer fee to sign players on longer term professional contracts.

“The removal of the transfer fee cap, along with the introduction of aligned domestic transfer windows via our Domestic Match Calendars, now means that fees can be paid for the transfer of a professional player during a transfer window who is under contract. The change ensures clubs outside the A-Leagues have a clearer and better opportunity to be remunerated and recognised for their capacity to develop great players.

“In addition to the sporting benefits and the potential for a greater number of clubs across Australia to focus on developing and training players, we also believe that this change will encourage transparency around player contracting and stimulate the Australian football economy as funds are circulated throughout the football ecosystem.

“We believe this update will also generate positive and forward-thinking conversations in the Australian football market, as clubs consider ways to optimise their operations and take advantage of the new regulation. In parallel, Football Australia must play its role in educating ambitious clubs and the football community of the new regulation, so that clubs of all shapes and sizes understand how to operate effectively in this new landscape.

“We recognise that this change is not a silver bullet, and it should be considered alongside the other initiatives we have introduced into Australian football, such as FIFA-aligned transfer windows in a Domestic Match Calendar and club licensing. This is the latest step in what will be an ongoing journey of transformation of Australian football.

Discussions regarding additional Domestic Transfer System reform within the whole of game are ongoing, with numerous stakeholders within the sport being consulted regarding matters related to the introduction of transfer fees between A-Leagues clubs, loan regulations, training compensation, home grown player rules and other reforms. It is envisaged that these discussions will continue to progress throughout 2022, with further announcements regarding Australia’s Domestic Transfer System to be made in due course.Note: The removal of the cap on transfer fees for professionally contracted players does not permit A-Leagues clubs to transfer players between one another for a fee. However, it does enable A-Leagues clubs to engage in negotiation with, for example, a National Premier Leagues (NPL) club regarding the transfer of a professionally contracted player. Similarly, NPL clubs may engage with one another regarding the transfer of professionally contracted players within Australia’s transfer and registration windows.

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Next CEO of Football Australia steps into the hot seat

Whoever the new Football Australia CEO is. They will face tough challenges.

Last Thursday James Johnson announced his resignation as CEO of Football Australia (FA) after five and a half years at the helm.

James Johnson over his tenure has presented over much activity in Australian football.

He’s overseen Australia’s co-hosting the 2023 FIFA Women’s World Cup with New Zealand.

This event produced a record influx of girls and women to all levels of the game and highlighted that the current footballing system didn’t have the capabilities to sustain this increase.

He was partied to the A-Leagues break from the FA into the Australian Professional Leagues (APL) in 2020 in the midst of the COVID-19 crisis.

Only recently he was instrumental in the FA’s creation of the National Second Division (NSD) to develop the footballing pyramid.

Many of these initiatives had and continue to have a significant impact.

Yet the complexity and work for these undertakings continue.

Though who is going to be the successor?

Heather Garriock, ex Matilda, has been confirmed as Interim CEO.

She has had experience in this type of role serving as CEO of Australian Taekwondo and as a director on the FA Board since 2021.

Garriock currently serves on the Asian Football Confederation’s Technical Committee and is an exciting fit.

Other than Garriock’s appointment, very little has been spoken on the position.

State Federation CEOs such as Football NSW’s John Tsatsimas and Football Queensland’s Robert Cavallucci are well regarded in the industry.

Would taking them away from their state positions a wise plan or are they even keen to take this huge role anyway?

Maybe from outside the footballing space a CEO of business experience could be valuable.

That being said, caution of people with little ‘football knowledge’ should not be taken lightly.

Football fans know all too well the divisiveness of CEO’s who don’t understand the complexities of the game can be.

What challenges are ahead?

For whoever claims the top spot, they and the FA already face some important hurdles.

First and foremost, they will have to preside over the upcoming start of the NSD in October this year.

A huge occasion in the story of Australian Football and a competition that many clubs, fans and communities are banking on to be a success.

If successful, not only will it bring back into the limelight storied clubs, who’s history have woven the rich tapestry of Australian football, but it’ll open the pathway to a new and improved Australian footballing pyramid, giving clubs the following and support they need to grow and develop.

Things such as funding opportunities, more mainstream media audiences and the chance to stamp their mark into the footballing nucleus.

Though with great expectation comes more chance for disappointment.

The current system for the NSD can be argued to be sufficient, but like all great shifts in football it needs to grow, to expand and importantly to deliver on its goal of a more streamline pyramid.

This push will face funding and support challenges and the NSD, the clubs and the FA will struggle if this new chapter is stagnant.

Which brings us to the next challenge.

The A-League and APL

The A-league is producing an amazing new generation of players for Australia, with increased viewership, fan presence and transfer revenue from home grown talent its producing a record season.

However, under the surface the A-League has struggled since its break from the FA into the APL.

The funding and its recent overhaul paint a bleak picture for the clubs.

On top of this the prospect of future relegation would worry any figures of the clubs, from investors to the club’s lifeblood’s, the academies and fanbases.

Whoever takes up the new role must walk the uncomfortable tight rope of supporting the extensive and growing football scene while not ignoring our highest professional level.

The Women’s Game

The 2026 Women’s Asian Cup is just around the corner, providing an exciting opportunity to further elevate Australia’s women’s football journey and continue its impressive momentum.

On-field and tournament success are only the tip of the iceberg as the continuation of the game’s development is critical.

The positives of this progression far out way the negatives but the FA and its incoming CEO must make smart and well-constructed plans to keep the progress going.

Funding

James Johnson and the FA recently hatched together a plan for $3 Billion worth of Funding from the Government.

Funding through Government sporting grants is the backbone of football, especially the grassroots system, the highest participated sport community in Australia.

Before leaving James Johnson, the FA and the extensive member federations presented their Securing Footballing Future initiative before the 2025 Federal Election decided our new government.

This document 23 major points, spanning all levels of the game outlines where and how this funding should be allocated over 10 years.

Securing Footballing Future is bold and focuses on key aspects that have been present issues for football.

The new CEO should make sure that this initiative is a crucial deal to ratify with the government to stabilise funding for years to come.

The federal governments $200 million “Play Our Way” grants program in 2023 was created in the euphoria of the Women’s World Cup.

Though not centrally football focused and far smaller amount of funding, it’s proof that government funding can be acquired and allocated.

As the Sydney Morning Herald reported this week, the FA will record $8.3 million loss at the next general meeting on May 23, funding will become a fundamental issue.

Now more than ever the FA is calling for Garriock and its next potential CEO to be ambitious, show strong leadership and be open to taking calculated risks.

It’s a monumental task ahead, but for the passionate and invested football fans around Australia, they know that optimism for the future while simultaneously being grounded in the present is part of the beautiful game.

As the saying goes, ‘one game at a time’.

Whoever is appointed as Football Australia CEO, whether Garriock or another candidate, should seize the opportunity and lead with purpose.

Football Australia appoint Heather Garriock as Interim CEO

Football Australia has announced the appointment of Heather Garriock as Interim Chief Executive Officer, following James Johnson’s resignation

This appointment is a landmark moment for Football Australia, with Ms Garriock becoming the first woman ever to lead the organisation.

As the most popular sport in both Australia and the world, this marks a significant turning point in the history of Australian sport.

A former Matilda, Olympian, and accomplished sports administrator, Ms Garriock brings a wealth of experience to the role.

She has previously led Australian Taekwondo as CEO, has been a member of the Football Australia Board since 2021, and currently sits on the Asian Football Confederation’s Technical Committee.

Ms Garriock also had an exceptional playing career. She represented the Matildas in three FIFA Women’s World Cups, three AFC Women’s Asian Cups, and two Olympic Games.

In recognition of her remarkable contribution to the sport, she was inducted into the Football Australia Hall of Fame in 2021.

As part of standard governance procedures, Ms Garriock officially stepped down from her position on the Football Australia Board yesterday.

Ms Garriock expressed her honour in taking on the role, highlighting her commitment to inclusive leadership, key strategic goals, and drawing on her lifelong experience in football to guide the game’s future at the highest level.

“I’m honoured to step into this role at such a pivotal time for football in Australia,” Garriock said in a press release.

“My focus will be on strong, collaborative and inclusive leadership as we work to deliver on key priorities — from Socceroos World Cup qualification and the appointment of a new Matildas coach, to the delivery of major tournaments and the continued development of our digital platform, PlayFootball.

“I have spent a lifetime in football and have literally played every position in football both on and off their field.

“This experience provides me with the unique ability to bring all perspectives of our game to the highest levels of decision making and build on the great work of James Johnson.”

She will now take on the role of Interim CEO while the Board undertakes both a local and international search for a permanent Chief Executive Officer.

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