EFL set to demand change to landmark £1.5bn deal after Premier League clubs vote

The Football League could be set to push back on a proposed ten-year deal with the Premier League worth £1.5billion.

That is according to football finance expert Kieran Maguire ahead of this week’s vote.

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Top-flight clubs will vote on the proposed ‘New Deal’ on Thursday, according to Sky News.

At least 14 of the 20 Premier League clubs must vote in favour of the plans before the proposals can be put to the EFL.

If approved, an initial annual payment of £100million would be made to EFL clubs before rising to more than £130million in year two.

That figure would then increase to £160million for the third year and remain at that amount for the remaining seven years of the agreement.

A lifeboat fund worth £20million will also be introduced to assist any EFL club which falls into administration.

However, clubs must spend 20 per cent of the money they receive through the ‘New Deal’ on infrastructure, as part of the proposal.

There are hopes that a binding agreement can be reached within weeks if the proposal is approved on Thursday.

How will the payments be funded?

There are currently two sources being proposed to help fund the £1.5billion deal.

The first would see the Premier League’s levy on domestic transfers raised from four per cent to six per cent.

Meanwhile, there is also a proposal to gradually reduce the three-year parachute payments received by relegated clubs.

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Explaining how the deal would be funded, Maguire told talkSPORT on Monday: “It looks as if it’s going to be funded through a couple of sources.

“First of all, the levy, which arises on domestic transfers. That’s going to go up from four per cent to six per cent.

“So if you’re signing a £100million player, that’s an extra £2million which goes into the pot.

“Secondly, it looks as if parachute payments are going to be scaled down. I think that will please the EFL because ideally they’d like them abolished, but I think they acknowledge that they do serve a useful purpose.”

EFL stance

Maguire continued: “So you put those sums together, plus the fact that the Premier League is very successful, I think it’s going to go through the £7billion barrier for the first time in season 2025/26.

“So all of that is more money coming into the game. The regulator doesn’t want to get involved, but this is an opportunity for the Premier League to show that it can negotiate with the EFL.

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“But first of all, it has to go for a vote of Premier League clubs and then we’ve got to see what the response of the EFL is.”

Even if the Premier League clubs vote in favour of the proposed deal, the EFL could still push back on the terms put to them.

Maguire admits this could likely be the case based on the current composition of the proposal.

He added: “Certainly the noises coming out of the EFL aren’t that positive, but it certainly does look a step forward.

“Even though it might need further negotiating and sort of tapering off at some point.”