UEFA Monitors European Soccer Giants' Spending, Report £1.6 Billion in LossesUEFA is going to start cracking down on teams with its new financial law, and big spenders like Manchester City and Paris-Saint Germain (PSG) need to limit losses.

On Wednesday, the Associated Press reported that UEFA research shows top soccer clubs in Europe combined to lose more than £1.6 billion ($2 billion) in 2010, with debts still increasing.

According to UEFA's recently passed Financial Fair Play (FFP) rule, clubs are able to lose a total of £5 million ($6.5 million) during UEFA's first assessment period, before being sanctioned. A two-year monitoring period will start next season, and UEFA can exclude clubs from its Champions and Europa Leagues starting in the 2014-15 season.

A club can also lose up to £45 million ($58 million) "…if a wealthy owner makes a one-off donation to wipe out losses," according to the AP.

UEFA general secretary, Gianni Infantino (pictured), said, "We must end this negative spiral and gamble for success," at a briefing, according to the report.

Manchester City's owners, from the United Arab Emirates, lost £194 million ($318 million) during the 2010-11 campaign. But the FFP rule does not take effect until the next season.

The FFP statement made on UEFA's website in September 2009 said the rule was put into place because "In recent seasons many clubs have reported repeated, and worsening, financial losses." the release said.

"The wider economic situation has created difficult market conditions for clubs in Europe, and this can negatively impact revenue generation and creates additional challenges for clubs in respect of availability of financing and assessment of going concern."