A number of mid-ranking Premier League clubs are lobbying for a percentage of the biggest teams’ Uefa revenue to be used to help fund a new financial settlement with the English Football League.
Talks over the so-called New Deal for Football have been in stasis since midway through the 2023-24 season, when the Premier League put negotiations on hold after failing to get the support of clubs for a funding deal for the lower divisions that would have been worth £880m over six years. The newly created Independent Football Regulator has been charged by the government with reviving the discussions and has been given backstop powers to impose a settlement if the parties are unable to agree. Divisions within the Premier League over how to pay for it remain.
A senior source at one established top-flight club told the Guardian that “a hell of a debate” is looming over funding the deal, and that there are plans to petition the IFR and Premier League to introduce a levy on Uefa income, which is in place in some European countries.
The Premier League’s six clubs in the Champions League this season are poised to receive a combined total of more than £600m in broadcast income and prize money, with Manchester City, Liverpool, Arsenal, Chelsea and Tottenham having each banked more than £80m for reaching the last 16.
Newcastle’s share to date is smaller at about £50m, because they score significantly lower on Uefa’s value pillar assessment, which is partly based on historical performances.
“We all want to do a deal with the EFL, but why should it be solely funded by the Premier League’s TV money?” the source said. “If that’s the case then a disproportionate burden will fall on the smaller clubs, who in effect will be funding their direct rivals in the EFL.
“There’s going to be a hell of a debate about how this is funded. Other European leagues have a levy on Uefa income as part of their redistribution mechanism, and we should do the same.”
The Eredivisie in the Netherlands is one league with such a system. Dutch clubs in Uefa competitions must pay 5% of their group-stage prize money to teams in the league that did not qualify for Europe, a figure which drops to 3.75% of revenue in the knockout stages. In addition, 15% of the clubs’ Uefa revenue is distributed to to teams in the second tier.
The plans to call for a similar levy in the Premier League are at an early stage, partly because the IFR’s role in the New Deal negotiations is in its infancy.
The IFR’s first task is to complete its State of the Game review, which is due to be published at the start of next year. The IFR chair, David Kogan, has met the Premier League and EFL and urged them to reach an agreement but cannot impose one until the review has concluded.
