Analysis: Redistribution within EFL on merit basis would benefit majority of clubs – but could plunge some into deep trouble
Alamy
Proposals have been mooted for parachute payments to be scrapped and broadcasting revenues to be distributed through the EFL on the basis of merit.
Off The Pitch have modelled the new distribution model on the last four Championship and League One seasons, highlighting significant variances to actual club incomes in the same period.
Why it matters: Championship clubs averaged wages-to-revenue in 2021 of around 150 per cent; our analysis suggests this would have been down to 105 per cent under the new model.
The perspective: Suggestions that the “new model” would reduce the ‘cliff edge’ of Premier League relegation are hard to reconcile with our findings.
3 May 2022 - 2:48 PM
As reported in The Times last week, plans are afoot to redefine the distribution of broadcasting revenues throughout the EFL – and reshape the financial fortunes of many English clubs.
With the EFL supposedly willing to accept merit-based distribution in exchange for the abolition of parachute payments to clubs relegated from the Premier League – provided the difference between the best- and worst-compensated clubs does not exceed a ratio of 1.7 – Off The Pitch has undertaken analys
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