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Report: Josh Allen, Bills restructure contract to create $12 million in cap space

The Buffalo Bills restructured Josh Allen’s contract to free $12 million in cap space, aiding retention of key players and enabling new acquisitions, ESPN reported.

  • On Tuesday, the Buffalo Bills restructured Josh Allen's contract, a cap maneuver led by Brandon Beane, Buffalo president and general manager, that ESPN said freed about $12 million.
  • Facing a tight salary-cap outlook, the Buffalo Bills entered free agency with one of the NFL's worst positions, forcing major financial moves to create roster space.
  • Connor McGovern said Josh Allen personally reached out to both sides, and the Bills signed McGovern and Dawson Knox to new deals during the cap reshuffle on Tuesday.
  • Despite the restructuring, Spotrac shows the Bills still sit $3.7 million over the salary-cap limit after the moves, though Knox's new deal should reduce his 2026 cap hit of $17.06 million.
  • Once Moore's money is available, the Bills plan to focus on filling defensive holes while building around Josh Allen under new coach Joe Brady, according to sources.
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Bills and Josh Allen agree to restructure QB's contract in salary cap-saving move, AP source says

A person familiar with the discussions says Josh Allen has agreed to restructure his contract in a move that frees up approximately $12 million in much-needed salary cap space for the Buffalo Bills entering the NFL’s new year.

·United States
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Sports Illustrated broke the news in New York, United States on Tuesday, March 10, 2026.
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