Premier League pushes for swift resolution to EFL funding dispute
The Premier League said on Thursday, after a meeting of its clubs, it wants to reach agreement with the English Football League over a new funding deal as soon as possible and warned the Independent Football Regulator could intervene if the leagues fail to agree.
The top flight presented the EFL last week with a 10-year proposal that would double solidarity payments to the 72 EFL clubs and provide an additional £1.8bn, part of which is expected to be funded by increasing the Premier League's transfer levy; England's top-flight clubs had previously agreed a deal in late July but the EFL has not yet accepted the settlement and talks remain ongoing.
In a statement issued after the clubs' meeting, the Premier League said: "Since a fair and generous proposal was formally offered to the EFL last month, discussions have continued between the leagues' executives," and added: "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."
The proposed arrangement would require scrapping the second leg of the Carabao Cup semi-final and would include controls intended to prevent the extra money from being spent on player wages.
The dispute traces back to a 2021 fan-led review commissioned by the government after a series of crises in the sport, including the failed European Super League project and the collapse of Bury FC, and has centred on disagreement over lucrative "parachute payments" to relegated clubs.
The EFL contends those parachute payments "distort competition and increase the risk of reckless spending by clubs desperate to reach the top flight," while the Premier League has argued they "are essential for clubs to have the confidence to invest, and provide the competition that ultimately generates the value that is shared with the lower leagues."
In March 2024 government officials warned the Premier League that a deal could be imposed if the two bodies failed to agree; the EFL declined to comment.
Talks between the leagues remain ongoing and, if no agreement is reached, a solution could be imposed by the Independent Football Regulator via its "backstop" powers, an outcome the Premier League has said it is keen to avoid.
