CLUBS in League One and Two have voted in favour of squad salary caps, the English Football League (EFL) announced yesterday.

The cap has been set at £2.5 million in League One and £1.5m in League Two with immediate effect, the EFL said.

A statement from the EFL said: “The decision follows extensive and comprehensive consultation with all clubs in respect of addressing sustainability and wage inflation issues across the EFL which were initiated prior to the suspension of football in March following the Covid-19 outbreak and have continued during the course of the summer.”

Players’ union the Professional Footballers’ Association has expressed concerns about the proposals as they are drafted, and has called for further consultation and clarity around the objectives of a cap.

It is understood that 22 League Two clubs were in favour of a cap, with two against.

The EFL said the measure would cover basic wages, taxes, bonuses, image rights, agents’ fees and other fees and expenses paid directly or indirectly to all registered players.

Promotion bonuses or incentives payable for success in cup competitions will not be included, and income generated from players going out on loan will be deducted from the club’s salary-cap calculation.

Forest Green chairman Dale Vince said: “I’m pleased it’s happened because it will bring more sustainability to the league.

“It starts today, which I think is a bit unfortunate because when it was first mooted it was going to start at the end of June.

“We’ve done all our recruitment expecting it would come and then the EFL said it would start at the end of July, and now it starts from today.

“So there has been some big spending in the gap, in anticipation of the cap, but only by a few clubs. We won’t feel the full effect of the cap until next season — not the one coming, the one after.”

Asked whether he expected the PFA to challenge the regulations, he said: “I have heard that they are going to try and stop it, that they think it’s illegal. I think they’re mistaken.

“There are already controls on what clubs can spend — SCMP (salary cost management protocol) — financial fair-play-type stuff. The salary cap is just a version of that. The principle is well established in football and I don’t really understand the basis for their claim.”