After the NHL’s Board of Governors meetings in early October, reports emerged that the league’s salary cap would increase by $4.5 million to $92.5 million for the 2025-26 season. Gary Bettman, the NHL’s commissioner, warned that those talks were premature, but it sounds like that estimation may turn out to be on the lower side due to increased revenue leaguewide.
According to a report from hockey insider Elliotte Friedman, there is a distinct possibility that the cap may rise $2.5-4.5 million more than previously thought. Friedman shared the news during a recent Saturday Headlines segment with Ron MacLean on Sportsnet.
One of the stories that we’ve been following this week is the salary cap for next year. At this time of year, the Players’ Association meets with all the players as part of its fall tour and it’s taken on added-on importance because there’s going to be a CBA negotiation next year. One of the things that they’re talking about is the salary cap which is supposed to be about $92.5 million for next year. Now, when this deal was done, we were in the middle of COVID, and we had no idea what the world was going to look like, and there were very careful guardrails put in on the salary cap just in case things didn’t recover.
Well, fortunately, for the NHL, revenues have been strong. They’ve been very good. They’ve outpaced the guardrails on that salary cap. So, basically, we have two paths to follow here. Number one is they keep the cap next year around $92.5 million and then there’s a huge jump the year after in 2026-27. Or, what the players say they’ve kinda been told about is the possibility that the cap moves higher next year, probably around the $95 million to $97 million area. Now, there’s no confirmation yet of which one is going to happen, but I’m hearing that it’s definitely going to be discussed, and there is some optimism that they can find a way to do it, but nothing will get done until it’s done. It’s definitely out there and the players have definitely been told about the possibility.
A further increase in the salary cap than expected would present a significant boost to a team like the Washington Capitals at this point in time. The Capitals currently have 13 players on their roster who will be free agents (11 UFA, 2 RFA) come the summer of 2025, and the majority of them are integral pieces of the club’s core this year.
Upcoming Capitals free agents
| Player | 2024-25 salary | FA status |
|---|---|---|
| Nicklas Backstrom, F | $9.2 million | UFA |
| Andrew Mangiapane, F | $5.8 million | UFA |
| TJ Oshie, F | $5.75 million | UFA |
| Jakob Chychrun, D | $4.6 million | UFA |
| Lars Eller, F | $2.45 million | UFA |
| Nic Dowd, F | $1.3 million | UFA |
| Charlie Lindgren, G | $1.1 million | UFA |
| Taylor Raddysh, F | $1.0 million | UFA |
| Hendrix Lapierre, F | $863k | RFA |
| Alex Alexeyev, D | $825k | RFA |
| Jakub Vrana, F | $775k | UFA |
| Dylan McIlrath, D | $775k | UFA |
| Logan Thompson, G | $767k | UFA |
While Nicklas Backstrom and TJ Oshie’s large salaries coming off the books may seem like a boon for the Capitals, the team is already operating without the pair factoring in their money this season. Both veterans are on long-term injured reserve, meaning their $14.95 million is not impacting the club’s salary cap considerations. However, that means Washington won’t recoup anything once the two contracts expire.
One of the major areas that will need a big-time investment is in net, as the team’s days of paying their two netminders under a combined $2 million salary will last just one season. Charlie Lindgren and Logan Thompson will be due raises, and one or both may choose to explore the open market.
Per AFP Analytics, an outlet primarily focused on player valuation, Thompson’s next contract is projected to be a four-year, $22.4 million deal if the cap is set at $92.5 million. Lindgren’s is a bit cheaper, projected as a two-year, $7.94 million extension. The Capitals also will need to consider the status of prospect goaltender Clay Stevenson, who they have locked up through the 2026-27 campaign.
Jakob Chychrun is also due for a significant salary bump. The 26-year-old blueliner has been an instant fit on Washington’s new-look backend and will be one of the market’s top available defensemen if the Capitals cannot ink him to an extension before July 1. Chychrun’s projected next contract is an eight-year, approximately $64 million deal.
With Nic Dowd and Lars Eller aging and potentially headed out the door as UFAs next summer, Hendrix Lapierre’s status as a young center with NHL experience becomes more important for the team’s future. Lapierre is projected to sign a two-year, $3.8 million bridge deal similar to Connor McMichael’s.
Additionally, Washington likely needs to start thinking about a big extension for Connor McMichael. McMichael signed his two-year bridge deal last July ($2.1M AAV) and will be an RFA again when it expires after the 2025-26 season.
A considerable increase in the league’s salary cap would help the Capitals get that work done and provide further opportunity to strengthen a roster that looks like it could be a contender under head coach Spencer Carbery. However, brakes may need to be pumped on those discussions as Bettman directly responded to Friedman’s report last week and threw cold water on the details provided.
“I don’t know where that came from,” Bettman told Sportsnet. “Any change would require an agreement between us, the league, and the players’ association in terms of how it’s computed, and we haven’t had those discussions.”
