Liverpool among number of clubs to be investigated for possible FFP breaches

Liverpool are among a number of clubs who are reportedly set to be investigated for possible Financial Fair Play (FFP) breaches.

According to UEFA's rules, all clubs competing in Europe must limit losses to 35.4 million pounds over two seasons and there are punishments for those who do not, with Manchester City hit with a fine and a limit on spending and squad size in May after breaking the rules.

But despite losses of 49.8 million pounds in 2012-13 and 41 million pounds in 2011-12, Liverpool is confident they will be cleared, The BBC reported.

Liverpool, along with AS Monaco, Inter Milan and Roma, none of whom took part in European competition last season, have reportedly submitted their accounts to the Club Financial Control Body (CFCB), but are due to be asked to provide further information on their finances.

After signing a series of lucrative commercial deals over the past 18 months though, Liverpool is confident that they have adhered to the FFP regulations.

The money raised commercially can be offset against the 90 million pounds losses, which can be further reduced if Liverpool can show they have invested some of their spending in youth development, infrastructure and community projects.

If UEFA deems Liverpool worthy of investigation, they would have their 6.8 million pounds prize money for reaching the group stages of the Champions League withheld. That money would be paid out if Liverpool were subsequently able to convince UEFA of their compliance, the report added.