The Premier League is still working to finalize a new funding deal with the English Football League (EFL) “as soon as possible.”
Last week, the Premier League presented a 10-year plan that would double the solidarity payments to the 72 EFL clubs. This plan got the green light from Premier League clubs in July.
According to BBC Sport on Thursday, this proposed deal would give an extra £1.8bn to EFL clubs. Part of this money would come from a rise in the Premier League’s transfer levy.
But the EFL has not accepted the proposal yet. Talks between the two leagues are still ongoing.
After a meeting with its clubs, the Premier League said discussions about a new partnership with the EFL are continuing. “Since a fair and generous proposal was formally offered to the EFL last month, discussions have continued between the leagues’ executives,” the Premier League stated.
“The Premier League remains committed to concluding a football-led solution as soon as possible so additional money can flow to EFL clubs this season.”
If the two sides cannot agree, the Independent Football Regulator might step in and force a settlement.
The proposed deal would also involve getting rid of the second leg of the Carabao Cup semi-final. It would also set up rules to stop the extra funding from being used for player wages.
This argument over money distribution has gone on for years. It started after a fan-led review of football governance in 2021.
A major point of disagreement is the parachute payments given to clubs that drop from the Premier League. The EFL believes these payments mess with the competition and can push clubs to take financial risks to get promoted.
The Premier League argues that these payments give relegated clubs the confidence to invest. This helps keep the competition strong and brings in money for the whole football pyramid.
In March 2024, government officials warned that they might impose a funding settlement if the Premier League and EFL do not reach an agreement.
The EFL has not commented on the latest talks.
Drop your comment
No comments yet — be the first to drop the gist 👇