Sports Ticker #141 - Mercedes' minority stake sale and the Squad Cost Ratio shake up - a speed read of commercial updates from the sports world

In a fortnight that saw the 74th Ashes series get underway in Australia, Chelsea and England goalkeeper Hannah Hampton crowned BBC Women’s Footballer of the Year, and the RPC Sports group win Legal/Professional Services Team of the Year at the Global Football Industry Awards, we bring you news of a new Premier League financial fair play framework, the UFC stepping into its AI era, and Mercedes’ latest multi-million-pound investment.

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Premier League tackles financial fair play with new Squad Cost Ratio rules
In a landmark meeting, Premier League clubs have backed a shift from the old Profit & Sustainability Rules (PSR) to a new Squad Cost Ratio (SCR) system, taking effect in 2026/27. From that season, clubs will be limited to spending 85% of their football-related revenue – known as the “green threshold” – on wages, transfers and agents. A 30% multi-year allowance will be available – though overspend will trigger levies from the 2027/28 season, and potential points deductions if clubs exceed the “red threshold”. An annual SCR compliance test will ensure that clubs adhere to the new rules. A new Sustainability & Systemic Resilience (SSR) framework won unanimous backing, introducing checks on liquidity, working capital and equity to ensure clubs’ financial health. However, Anchoring, a proposed rule linking each club’s spending limit to a multiple of the league’s lowest-earning club, was ultimately set aside after clubs concluded it was not the appropriate mechanism to incorporate into the League’s new financial framework. The Premier League stated that the new rules aim to protect “competitive balance” and ensure “clubs operate in a financially sustainable way.”

Mercedes shifts gears: Wolff sells stake as team value races past £4.5 billion
Mercedes CEO and Team Principal Toto Wolff has announced the sale of 15% of his shareholding in the team to CrowdStrike CEO and former US race car driver George Kurtz. Wolff, who joined Mercedes in 2013, still owns a third of the team and reiterated after last weekend’s Las Vegas Grand Prix that he has “no plan to sell the team” or step away from his roles. Mercedes has confirmed that “the governance of the team will remain unchanged”. The deal highlights a remarkable rise in Mercedes’ valuation, climbing to around £4.57 billion from £208 million in 2022. The increase underscores F1’s rising global appeal, capturing interest from audiences beyond its traditional fanbase. Kurtz cited F1’s growth in the US – boosted by Netflix’s “Drive to Survive” – as a motivating factor behind his investment. On track, Mercedes currently sits second in the Constructors’ Championship, an improvement on last year but still short of the Hamilton-led dominance of 2014–2022. Though this season’s title is out of reach, the deal shows the team’s commitment to building future success.

UFC combines punches and predictions with AI analytics power up
The Ultimate Fighting Championship (UFC) launched its AI-powered fight analytics programme, In-Fight Insights, at UFC 322 in Madison Square Garden. Developed in partnership with IBM, the tool draws on over 13.2 million data points from more than two decades of UFC events and 2,400 fighters, delivering near-live insights to viewers. The collaboration means that key data points, information and milestones can reach fans almost instantly, elevating the all-round viewing experience for UFC’s growing fanbase. Jonathan Adashek, IBM’s Senior Vice President of Marketing Communications, highlighted the launch as a prime example of “how AI is really changing the game for the live sports viewing experience for fans around the world”. He praised UFC’s commitment to innovation, stating that the launch is “a testament to the commitment of UFC to always think outside the octagon, to best capture the enormous storytelling potential and human element of the action going on inside the cage”.

British Basketball Federation’s financial fallout forces insolvency 
The British Basketball Federation (BBF) has announced it will enter liquidation, citing a “significant and unanticipated reduction in income” and “unforeseen expenditure” that left it unable to meet liabilities. As covered in Sports Ticker #139, FIBA, the international governing body for basketball, had previously suspended the BBF over governance concerns. FIBA later struck a deal with Super League Basketball (SLB) to oversee the men’s top tier, in an attempt to bring stability to the league. In an official statement, the BBF said that it “appreciates the ongoing commitment” of key stakeholders, and that it “will continue to work towards compliance with international commitments”. With GB Men’s team set to face Iceland in a crucial World Cup 2027 qualifier, the Home Countries teams have also stressed their commitment “to maintain Great Britain’s participation in upcoming FIBA competitions.”

Sky Sports’ “little sister” Halo is benched after fans cry foul
Sky Sports has axed its new TikTok channel, Halo, just days after its launch following negative reception from fans. The idea was for Halo to be the Sky Sports channel’s “little sister”, creating a platform for young female sports fans to access and explore content. Whilst the company’s Head of Social Media and Audience Development announced that he “couldn’t be prouder” of the platform, commentators struggled to grasp the logic behind it. Disappointed fans noted that creating a separate platform aimed at female enthusiasts under “little sister” branding was regressive and undermined efforts for women’s sports to be deemed an equal, as opposed to an afterthought. The platform’s content was equally controversial, with posts featuring pink colour schemes, references to “matcha” and “hot girl walks”, and the romantic lives of professionals. Sky Sports accepted the criticism, admitting that they “didn’t get it right”.

Extra time...

…and finally, popular Chinese mobile multiplayer game Honor of Kings set a world record this month, with 62,196 people attending the 2025 King Pro League Grand Finals in Beijing. The King Pro League (KPL) consists of 18 teams and has seen the prize pool on offer increase almost 5,500% from around £197,210 in 2016 to £11 million in 2025. This reflects the rising global popularity of esports, with tickets to the KPL Grand Finals selling out within 12 seconds. With global viewership worldwide estimated by Statista to be at around 320 million people, esports has levelled up from niche to worldwide sensation, smashing records at every turn.