Why Lazio and Sarri are in tense stand-off over 2025-26 transfer embargo

FLORENCE, ITALY – FEBRUARY 26: Maurizio Sarri manager of SS Lazio looks on during the Serie A TIM match between ACF Fiorentina and SS Lazio at Stadio Artemio Franchi on February 26, 2024 in Florence, Italy. (Photo by Gabriele Maltinti/Getty Images)

Reports are growing that Maurizio Sarri is so frustrated by the lack of financial clarity at Lazio that he could resign, so what exactly is the situation?

Football Italia’s own Alfredo Pedullà confirmed the irritation felt by the coach, who feels that the extent of the limitations was not explained to him when he signed the contract for a return, nor is it even being clarified now.

Lazio released a formal statement on the club website on Thursday insisting there were no real financial problems to worry about.

Instead, it seems as if the club is banned from buying or selling players until January, unless President Claudio Lotito puts his own money into the club to raise capital.

This is because Lazio have fallen foul of the liquidity index before, but this situation is considerably more complicated.

Lazio failed all three financial parameters

Lotito has for years been a vocal opponent of the liquidity index, feeling it is not a fair reflection of the financial health of a club.

The liquidity index measures the cash-flow status of a club and its ability to quickly get money to pay for outstanding bills.

It means a club heavily in debt, but with a good credit score, might have a stronger liquidity index than one without debts.

In March 2025, the club failed to meet all three major financial parameters: liquidity index, debt, and extended labour costs.

It means while some clubs in Serie A must sell first before they can be allowed to buy, Lazio are in a total transfer embargo until January 2026.

The only way it can be loosened is if Lotito injects fresh capital by the end of August, but the Corriere dello Sport suggest he is hoping to ride it out until January.

He hopes that the transition from the Italian system of checks and balances to the UEFA-style parameters can be done earlier than January 2026.

This is because the Italian one is calculated up to March 31, not taking into account that the football season ends June 30.