Premier League moves to secure future of EFL by agreeing rescue package for Championship, League One and League Two

The Premier League and the EFL have agreed a financial rescue package to keep lower-league clubs afloat amid the financial impact of the COVID-19 pandemic.

With many clubs facing uncertain futures due to the loss of gate receipts, months of negotiations have finally concluded with the promise of a £50m package to League One and League Two, as well as a £200m interest-free loan facility for the Championship.

The future of the EFL was at risk

Each League One club will receive a minimum payment of £375,000, while League Two clubs will get at least £250,000 direct from the Premier League.

The remaining money will be dished out based on lost gate revenue calculations, while £20m will be available as a ‘monitored grant’ should clubs need it.

Championship sides, meanwhile, can get loans of up to £8.33m from an interest-free pot, which must be repaid by June 2024.

EFL chair, Rick Parry, said: “Our over-arching aim throughout this process has been to ensure that all EFL Clubs survive the financial impact of the pandemic.

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Rick Parry has been in negotiations with the Premier League over a bailout for some time

I am pleased that we have now reached a resolution on behalf of our Clubs and as we have maintained throughout this will provide much needed support and clarity following months of uncertainty.

“I would like to thank Richard Masters and Gary Hoffman for their efforts on behalf of the Premier League, and of course their shareholders, for making this welcome, tangible commitment to the professional game at a time when it has needed it most.”

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Masters was delighted to announce the news, which was agreed by Premier League clubs on Wednesday

Meanwhile, Richard Masters, Premier League chief executive, said: “The Premier League is a huge a supporter of the football pyramid and is well aware of the important role clubs play in their communities. Our commitment is that no EFL club need go out of business due to COVID-19.

“All football clubs continue to suffer significant financial losses as a result of the pandemic, but Premier League Shareholders today unanimously agreed to provide additional funding and support for EFL clubs in real financial distress.

“We are very pleased to have reached this agreement and we stand together with the EFL in our commitment to protect all clubs in these unprecedented times.”

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