In a surprising development, the Premier League is rumored to be considering a significant change in the distribution of prize money, benefitting the league’s ‘Big Six’ even more.
The current system, with a ratio of 1.6:1, awarded last season’s Treble winners, Manchester City, a substantial £161.3 million in prize money for the 2022-23 season.
According to reports from the Daily Telegraph, plans are underway to scrap the existing format, introducing a new 1.8:1 ratio starting from the 2025-26 season. This adjustment could potentially see the ‘Big Six’ receiving tens of millions of additional pounds, citing factors such as the Consumer Prices Index and the global growth of the Premier League as reasons for this recalibration.
The news comes at a sensitive time for Everton, who recently faced a 10-point deduction for violating financial rules, plummeting them to 19th place in the table.
Critics argue that this change in prize money distribution may further aggravate the disparity between bigger and smaller clubs, a concern acknowledged by insiders who claim that a higher inflation rate will lead to more favorable rates for smaller clubs in the upcoming season.
All Premier League clubs are gearing up for a pivotal vote on Tuesday to decide on a New Deal For Football. Meanwhile, reports suggest that Arsenal, Chelsea, Liverpool, both Manchester clubs, and Tottenham have been engaged in disagreements with their rivals regarding the solidarity system payouts model.
In a related development, the EFL is expected to receive an additional £130 million in funding, but details regarding the source and contributions from Premier League teams remain unclear.
These revelations follow Everton’s recent historic points deduction, prompted by alleged breaches related to the 2021-22 season, with the club posting staggering financial losses exceeding the Premier League’s guidelines by more than £250 million. The punishment has drawn attention to Manchester City and Chelsea, with speculation that Everton’s precedent could potentially lead to relegation for these heavyweights.
Everton has staunchly declared its intent to appeal the verdict, vehemently denying any breach of profit and sustainability rules. The club attributes its financial losses to the construction of a new stadium at Bramley Moore Dock, emphasizing the proportionality and appropriateness of the sporting sanction. Everton plans to cite precedents, such as the lenient fines imposed on six Premier League clubs during the European Super League controversy, to support its case.