Indian Premier League (IPL) franchises are facing a significant new financial challenge as several star players reportedly demand retention fees of up to ₹40 crore ahead of the 2028 mega auction. This development could reshape team strategies and budget allocations for the upcoming seasons.
High Stakes for Star Player Retention
According to a report by Cricbuzz, at least two high-profile players have communicated their financial expectations to their respective teams, indicating they would only consider staying if their substantial demands are met. In one instance, the reported ₹40 crore demand is also linked to a captaincy role, adding another layer of complexity to negotiations.
This trend suggests that more players might seek higher contracts, especially if they believe entering the open auction pool could secure them more lucrative deals. The current scenario places immense pressure on franchises as they work on retention strategies for the 2027 mini-auction and plan for the next major auction cycle.
Auction Benchmarks and Rising Purses
The reported demands follow the IPL 2025 mega auction, which established new benchmarks for player salaries. Rishabh Pant was acquired by Lucknow Super Giants (LSG) for ₹27 crore, while Shreyas Iyer secured a contract worth ₹26.75 crore. Both players had opted against retention by their previous franchises, demonstrating the potential for significant gains in the open market.
At the time of Pant's ₹27 crore deal, franchises operated with a total auction purse of ₹120 crore. A potential ₹40 crore retention fee would represent a substantial increase over these figures, forcing teams to reconsider their budget allocation.
Expected Increase in Auction Purse
The total purse for the next mega auction is anticipated to rise to approximately ₹150 crore, although this figure remains unconfirmed. The IPL purse has seen consistent growth since its inception in 2008, when it stood at ₹20 crore. It subsequently increased to:
- ₹60 crore in 2014
- ₹80 crore in 2018
- ₹90 crore in 2022
- ₹120 crore in 2025
- ₹130 crore for the 2027 season
A ₹40 crore retention fee would consume roughly 26.7% of a ₹150 crore auction purse. This would leave franchises with less capital to build a balanced squad, requiring careful strategic decisions to balance retaining marquee players with strengthening their batting, bowling, and all-rounder options.