Sheffield Wednesday takeover: Why huge wage bill twist could be so damaging | OneFootball

The Owls are set to be capped in how much they can pay players next season, which could have huge implications on their chances.

Sheffield Wednesday will start next season in League One, and it looks likely at this stage that they will return to the third tier with a 15-point deduction, after having 18 points taken off them in the 2025/26 Championship campaign.

The Owls remain under the jurisdiction of their administrators, but the situation on the pitch has been a lot more positive in the last few weeks, despite relegation. Performances have been much better, and they have come extremely close to taking their first win since September.

However, in the back of everyone's minds at Hillsborough is the dangerous position that they are heading into in the third tier next season. David Storch looks as though he will be the man to start the rebuild of the South Yorkshire outfit, but there will be certain commitments that the club must make as they look to reconstruct their broken club.

That includes the 15-point deduction, with Storch's takeover not going to reach the 25p per £1 repay rate to start the season on a level playing field, while it has emerged in recent days that Sheffield Wednesday will be handed a £7k-a-week wage restriction on new signings.

Sheffield Wednesday have major wage issue heading into League One next season

The Star have reported that representatives of the Owls are trying to negotiate a deal with the EFL so that they are not handed a wage cap next season, but the success of those talks are still unknown and plans will be being made for the club to head into the transfer window with those restrictions.

Given the fact that Sheffield Wednesday will be starting the campaign 15 points behind every other side, if Storch's deal does go through, this will only add to their problems in trying to avoid relegation to League Two, let alone an instant return to the Championship through the play-offs or even automatic promotion.

In 2025/26, there are eight clubs in League One with an estimated wage bill of £7m per year or higher that the Owls will be limited to next season, and therefore the club will not be the only side that are fighting in the division with such a limited wage bill.

Nevertheless, Sheffield Wednesday have a huge rebuild on their hands, and enticing quality players to Hillsborough will only be made tougher and The Star have previously reported that this situation has the potential to put Storch off a deal.

Sheffield Wednesday may lose out on targets due to their wage restrictions

Jerry Yates is just one of the players who the club have seemingly already identified as a key star in their rebuild next season, after an incredibly successful time while on loan from Luton Town this season.

However, he is likely to cost a fee and his wages may be an issue for Sheffield Wednesday, having only joined the Hatters from Championship side Swansea City in the summer.

Yates would be classed as a new signing, despite his time on loan in 2025/26, and therefore Sheffield Wednesday would only be allowed to offer him £7k-a-week. It's a situation that Derby County found themselves in when they were relegated to League One.

Nevertheless, the Rams proved how far that cash can go, as they signed the likes of Conor Hourihane, Nathaniel Mendez-Laing and Korey Smith. These three players were all established Championship players before moving to Pride Park, but were willing to lower their asking price for wages, and helped the club return to the second tier after just two years.