The AFL has today written to clubs communicating the revised Football Department Soft Cap limits for 2023 / 24 for the AFL Men’s competition.
In summary, the Soft Cap limit will increase by an additional $500,000 in 2023 and a further $250,000 in 2024.
The AFL Men’s Competition Soft Cap expenditure limit in 2023 will be $6.95 million and $7.2 million in 2024.
In addition to the increased spending limits, updates have been communicated that further prioritise;
- Player health care policy (Medical, Mental health and wellbeing and Multidisciplinary health)
- Diversity
- Professional development
The Soft Cap policy for AFLW Season 7 has been previously communicated to Clubs, with the policy for Season 8 and beyond subject to ongoing review.
Priority Policy Areas – Player Healthcare
Minimum expenditure levels apply on medical and mental health & wellbeing resources that cannot be reallocated to other areas of the Football Department. A series of deductions are made available for expenditure over and above these minimums to incentivise Clubs to invest further on eligible resources without Soft Cap impact.
The eligible resources / expenditure to meet this level include:
- Player Development Managers
- Club Psychologists
- Indigenous Welfare Officers / Indigenous Player Development Managers (mandatory from 2022)
- Wellbeing Support Resources
- Mental Health & Wellbeing programs and training
In addition to the above minimum mental health investment requirements, all AFL Clubs have been funded for AFLW Player Development Manager that sits outside the Soft Cap.
Expenditure on medical and mental health resources has been protected in the Soft Cap during the COVID-related reductions of 2020 and 2021, and spending has in fact increased over the period from 2019.
Average expenditure on mental health and wellbeing resources has increased 28% on average from 2019 to 2022 which is largely attributable to increased investment in psychologists, player development managers and the newly mandated Indigenous Player Development Manager roles, in which all 18 clubs have now employed.
Priority Policy Areas – Diversity
Clubs can claim a deduction for female and indigenous staff members in both their Men’s and Women’s Programs.
Clubs who are sponsoring the successful participants of the Women’s Coaching Acceleration program are eligible to receive Soft Cap exemption. There are currently nine clubs who are supporting applicants – Adelaide Crows, Brisbane Lions, Collingwood, Essendon, Geelong Cats, GWS Giants, Hawthorn, North Melbourne and Port Adelaide.
Priority Policy Areas – Professional Development
An allowance is available for investment into Professional Development for football department staff.
AFL EGM Clubs, Finance and Broadcasting Travis Auld said the updated soft cap ensured the protection of priority expenditure and afforded clubs additional spending on club’s key football department areas of focus.
"The pandemic has required us to collectively adjust our approach, at all levels of football, and I want to thank our clubs and football department staff for their understanding and willingness to work through the forced reset of the soft cap policy," Mr Auld said.
"As our industry, our game, and our clubs continue to bounce back, it will require continued discipline in how and where the industry directs its resources, while also ensuring we collectively continue to prioritise the health, wellbeing, and development of players, coaches and football department staff.
"The existing structure of the Soft Cap policy has enabled the AFL to expand and enhance the level of Mental Health and Wellbeing resources in the Clubs – both in quantum but also quality and consistency.
"By putting rigour around the minimum requirements, we continue to prioritise the health and wellbeing of everyone, and should a Club spend above the minimum amount in this space they can spend further on eligible resources / programs and this additional spend is fully deductible or excluded from the cap.
"These resources can and should be jointly accessed by the men’s and women’s programs. We also have Equity of Access requirements that mean Clubs must demonstrate how the women’s program is receiving access to these resources on a fair and equitable basis.
"The soft cap policy for AFLW will be reviewed again after the completion of Season Seven, including taking into consideration the implications of the revised season timing."
