Key facts
- Premier League clubs have unanimously voted to approve a proposal to share an additional £1.5 billion with EFL clubs.
- The proposed deal would span 10 years and includes funds for club crises and infrastructure.
- To finance the deal, Premier League clubs may increase the transfer levy from 4% to 6%.
- The offer is set to be presented to the EFL board for review and consideration.
The Premier League has reached an agreement on a proposal to distribute an additional £1.5 billion across English football's pyramid over the next decade. Clubs in the top flight voted unanimously to support the "new deal for football" after discussions with the English Football League (EFL). The offer, which includes a "lifeboat" fund for clubs facing immediate financial crises and a dedicated fund for infrastructure improvements, will now be put before the EFL's board for their consideration.
To help fund this increased distribution, Premier League clubs have reportedly agreed to raise the transfer levy on top-flight deals from the current 4% to 6%. Manchester City had initially expressed opposition to this increase, according to reports. The Premier League stated its clubs had "unanimously voted to approve a funded proposal for a new strategic partnership with the EFL" and are committed to finding a "football-led solution."
The EFL has not yet officially received the offer but acknowledged "constructive" discussions. Its board will thoroughly review the proposal's details, including its potential benefits and implications for its 72 member clubs, before further dialogue with the Premier League. This marks the first time Premier League clubs have officially agreed to a proposal for increased financial distribution to the rest of the pyramid since the request was first made five years ago. The precarious financial state of many EFL clubs, highlighted by the COVID-19 pandemic, and public pressure have been factors in these negotiations. The establishment of the Independent Football Regulator last year, with powers to enforce a settlement if an agreement is not reached, also looms over the process, though it has not directly participated in these negotiations.