Opposition to the 'New Deal for Football'
Manchester City has emerged as the primary opponent to the Premier League’s proposed £1.5bn financial settlement with the English Football League (EFL). The proposal, intended to be distributed over a 10-year period, faces a critical vote among the 20 Premier League clubs this Thursday.
Core Points of Contention
- Funding Mechanism: City and other high-spending clubs contest the plan to increase the levy on transfer fees from 4% to 6%. This shift would disproportionately impact clubs with higher transfer activity.
- Financial Burden: The 'Big Six' clubs are expected to contribute a larger share of the total package, a structure that has drawn internal resistance.
- Procedural Friction: Manchester City’s opposition follows a recent attempt to force late-stage rule amendments during the June Annual General Meeting, which were rejected by a 19-1 vote.
Projected Distribution and Timeline
If the proposal secures the required 14 votes, the funding structure is slated to operate as follows:
- Initial Disbursement: A £100m payment scheduled for the current season.
- Long-term Commitment: Annual contributions averaging £150m until the 2035-36 season.
- EFL Allocation: 80% to the Championship, 12% to League One, and 8% to League Two.
Operational Context
The Premier League intends to finalize the agreement before the season commences. While the league remains cautiously optimistic regarding the ballot, the EFL—led by chair Rick Parry—has not yet signaled acceptance of the terms, with reports suggesting the EFL may seek a higher total valuation. Manchester City remains under scrutiny regarding separate ongoing legal proceedings concerning 115 alleged breaches of Financial Fair Play regulations.
