The recent passage of legislation aimed at strengthening football clubs does not absolve them of their financial obligations, Finance Minister Makis Keravnos clarified on Friday.

“The bill that has been passed does not negate or erase anyone’s obligations,” the minister stated during his remarks at the ‘SafeVAT Forum.’ He emphasised that football clubs failing to meet their financial responsibilities would face the same consequences as any other citizen or entity that defaults on obligations to the state.

Addressing a separate issue, Keravnos commented on the rejection of a proposal by AKEL for the taxation of banks’ excess profits. He stressed that as an EU member state, Cyprus must handle economic matters within the institutional framework established by the European Commission and its regulatory bodies.

MPs on Thursday narrowly approved a controversial bill to raise the levy on net betting earnings, aiming to provide increased financial support to football clubs and their academies.

The bill passed with 27 votes in favour, while 25 MPs voted against, media reported.

The legislation, submitted by the finance ministry, amends the Betting Laws of 2019 and 2020. It proposes a 1.5 per cent increase on the levy paid by licensed betting operators to the National Betting Authority (NBA) from 3 per cent to 4.5 per cent.

Under the new arrangement, the additional funds will be allocated to the Cyprus Sports Organisation (CSO), which will subsequently distribute them to the Cyprus Football Association (CFA) to support clubs across various leagues and their youth academies.