MPs urge Premier League to agree EFL funding deal or risk forced settlement
The Premier League and English Football League must "urgently" agree on sharing more revenue with clubs down the football pyramid, or risk having a settlement forced on them, say MPs.
"Unless the football authorities get their act together soon on agreeing a fairer share of revenue, we risk more clubs collapsing, with the devastating impact that can have on local communities," said chair Dame Caroline Dinenage MP.The committee took evidence from the football authorities in February when talks between the Premier League and EFL over a new funding settlementThe plan for a regulator, recommended by a fan-led review, has been confirmed by the government.
The regulator will have 'backstop' powers to impose a new financial settlement if agreement cannot be reached, effectively forcing the Premier League to share more money down the pyramid.with the Premier League, merit-based payments across all four divisions, and the abolition of parachute payments to teams relegated from the top flight.Parachute payments are solidarity payments made to help relegated sides adjust to lower revenues.
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