Premier League aims for English Football League funding offer early in new year
In June, MPs said the Premier League must agree on sharing more revenue with clubs down the football pyramid, or risk having a settlement forced upon it
The Premier League will aim to get formal approval to make a funding offer to the English Football League early in the new year.
Broad agreement has been reached over the amount to be offered.
However, issues remain over where the money will come from.
The bigger clubs are arguing for a more equitable model than those lower down the table, who feel the richer members of the Premier League should shoulder the greatest burden.
In addition, the top-flight clubs are still to sign off the financial controls to be agreed with the EFL.
It is felt different spending percentages should apply to clubs relegated out of the Premier League, whose wage bills will be high, even though they will receive hefty parachute payments.
Some Championship clubs are resistant to that plan given, by extension, it allows those relegated clubs to spend a greater percentage of an already significantly higher turnover.
It has not gone unnoticed that without Ipswich’s excellent form, the three clubs that came down would all be filling the top places in the Championship.
The Premier League has previously indicated payments could begin immediately. The EFL had expected the first monies to have been handed over by now.
MPs had demanded a model be agreed or the top flight risked having a settlement forced on it.
A report by the Culture, Media and Sport (CMS) Select Committee in June said if no funding plan is reached soon, the government should bring forward a move to set up an independent football regulator (IREF) “to impose a deal”.
The plan for a regulator, recommended by a fan-led review, has been confirmed by the government. It should ensure a fair distribution of money filters down from the Premier League.