As with their professional counterparts, some young players will take the opportunity to move clubs if the chance arises. And with larger clubs seeking to recruit players at ever younger ages, this is becoming increasingly common.
In the majority of cases, clubs will reach mutual agreement on a compensation fee. However, in others the two clubs' valuations will differ, sometimes significantly, and the matter will need to be settled through an arbitration process.
The professional game's method for determining the amount of compensation payable for training and development of players under the age of 24 is through the Professional Football Compensation Committee (PFCC). The PFCC is incorporated under the rules of both The Football League and Premier League, and forms part of the collective bargaining agreement with the Professional Footballers' Association.
The PFCC comprises of an independent Chairman, appointees from The Football League and Premier League (as appropriate), an appointee of The Professional Footballers' Association and an appointee of the League Managers' Association.
PFCC hearings take place on an agreed date with each club required to provide evidence to support their valuation of the player in question. In making its judgment the committee will take into account the costs of both clubs in operating a Football Academy or Centre of Excellence, as well as the age and playing record of the player, the length of time he was registered with his original club, the terms offered by both clubs, the status of the two clubs, the substantiated interest shown by other clubs in acquiring the registration of the player and any amounts paid by the original club to acquire the player in the first place.
Unlike FIFA's formulaic approach, this domestic process allows for greater flexibility in setting the level of compensation according to the merits of each individual case. In deciding on a compensation figure, it is not uncommon for the PFCC to set fees that build as the player becomes more established at first team level. Recent cases have seen clubs receive a basic compensation fee with further payments becoming due on the player's debut, following a certain numbers of first-team appearances and after international appearances. It is also usual for there to be a sell-on fee should the player be sold at a profit at any point in the future.