THE AFL has today confirmed the AFL and AFLW Soft Cap Policy for the three-year period covering 2025-2027.

Over the three-year period the AFL Soft Cap Limit capacity for each club will increase $700,000.

The AFL Soft Cap Limit will be set at $7.675 million in 2025, up from $7.275 million, an uplift of $400,000, and the limit will further increase by $250,000 in each of 2026 and 2027.

Over the three-year period the AFLW Soft Cap Limit capacity will increase $300,000.

In 2025 the AFLW Soft Cap Limit will increase $100,000 bringing the total limit to $1.175 million with further increases of $100,000 in each of 2026 and 2027.

The 2025 limit increase includes a $200K adjustment to account for deductions now being permanently transitioned into the Soft Cap Limit.

In addition to the increases, further expenditure capacity will be made available through new and expanded deductions.

In total, across limit and deduction adjustments, it is projected that Clubs will have expenditure capacity in 2025 in the range of $11-$11.5 million on average in their Football Program across both AFL and AFLW.

An AFLW Senior Coach deduction will be introduced in 2025, allowing Clubs to deduct 20 per cent of their Senior Coaches salary, bringing the policy on AFLW Coaches into alignment with the 20 per cent deduction for AFL Coaches salary that was brought in for the 2024 season following consultation with coaches. 

The further deduction will allow Clubs to enhance their investments into coaching resources.

An additional $25,000 deduction has also been made available for each club for professional development in AFLW Programs.

The AFL and AFLW Finals Allowance deduction has also been uplifted following consultation to provide clubs with greater flexibility to manage Finals related operating expenditure, including performance-based reward & recognition programs for Football Department staff.

An additional $50,000 deduction will also be available to AFL and AFLW Clubs who are required to travel from inter-state for the Grand Final.

To further support the Healthcare and Mental Health and Wellbeing teams at Clubs, the healthcare model has been reformed to include expanded expenditure capacity for priority resources including doctors, psychologists, allied health professionals, and the Indigenous Player Development Manager.

"Across the last few seasons we have witnessed some of the most competitive football of all-time across both the AFL and AFLW competitions and we want all fans to go to a game knowing that on any given day their team is a chance to compete and win," AFL CEO Andrew Dillon said.

"Following extensive consultation with Clubs, and particularly coaches, other stakeholders and the AFL Commission we are pleased to confirm the Soft Cap Policy for three years providing Clubs with planning certainty over the remainder of the current Collective Bargaining Agreement which goes through to the end of the 2027 seasons.

"We have continued to talk to coaches and football departments and are also pleased to be able to bring in an AFLW Senior Coach deduction to now align with the 20 percent AFL Coaches deduction announced last year.

"As part of a commitment to continue to prioritise player health and safety we have revised the Soft Cap Healthcare Model to ensure minimum standards in healthcare resourcing are set across the competition and ensure equitable access to healthcare providers across both AFL and AFLW programs."