Should the salary cap be scrapped?

Quote: SmokeyTA "Firstly, 10 of 14 isnt 80%. Secondly, operating at a profit isn’t always the aim, of all companies, at the same time. it is pretty naïve to look at profitability as the only measure of financial health.

St Helens don’t operate at a profit, they have posted some results which in isolation look pretty bad. But they have a huge shiny new asset which not only increases the chances of profitability for future years, but is a big shiny asset on the balance sheet on its own. Leeds as well, don’t look to post huge profits, with ‘management fees’ and loans to Carnegie often bring down the amount they show as ‘profit’. I have no doubt other clubs will have similar set ups. So again, it is pretty naïve to look at profitability as the only measure of financial health.

St Helens don’t operate at a profit, they have posted some results which in isolation look pretty bad. But they have a huge shiny new asset which not only increases the chances of profitability for future years, but is a big shiny asset on the balance sheet on its own. Leeds as well, don’t look to post huge profits, with ‘management fees’ and loans to Carnegie often bring down the amount they show as ‘profit’. I have no doubt other clubs will have similar set ups. So again, it is pretty naïve to look at profitability as the only measure of financial health.

Considering the salary cap has done neither of those things, it is pretty ridiculous to keep it in place, it hasn’t broken the stranglehold of the big clubs. Its just that one of them has been run poorly, and we have had three more ‘rich guys’ join the party. I find it strange that you argue so much on the financial prudence needed and how all clubs need to only spend what they have because were that the case, your club wouldn’t be in SL.'"

Ok if you want to be pedantic 71.4% of clubs are losing money!

Yes most businesses will operate at a minor loss for tax purposes but I don't know of many that are happy or sustainable operating at 250k-1mill+ every year!

The salary cap hasn't had the desired levelling effect, arguably, due to not envy club spending it. Some are spending more, some significantly less. The day we see every club spending the same will be the day we see more teams competing for silverware. Look at the player movement from top to bottom clubs and compare it to SL player movements, there is your evidence.

My club has spent full salary cap every season since joining SL. If anything we may benefit more by having no salary cap than others as we have millionaire backers. I want to see a SL of 14 competitive teams all financially sustainable. P&r or removing salary cap would be major mistakes.