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This refers to the PL central funding (ie TV revenue). Any club could spend up to 56m of the central funding on wages in the 2014/15 season, rising to 60m in 2015/16. There is no restriction on the club spending money on from other income sources on wages, hence how Palace managed to spend 68m...

They should be doing well with their windfall, but if they are potentially coming up against "issues" surrounding the TV money wage cap already, then that has to cause for concern, especially now that they have taken on another high-earner.