An impending new arrangement on money handed to EFL clubs from the Premier League puts West Brom on the wrong end of a “cliff edge” outside the financial elite.
With the Baggies’ parachute payments completed, the gap between their spending power and that of the teams relegated from the top flight has increased dramatically, and there are fears that it may soon widen even further.
With the present system set to be repealed pending a vote among top flight clubs next week (21 November), the Albion’s position among the have-nots may be secure for the foreseeable future.
On November 8, Martin Ziegler of The Times stated, “There are growing fears among second-tier clubs that teams relegated from the top flight will get extra spending advantages under the ‘New Deal’ agreement between the Premier League and the EFL.”
The six-year contract is worth a total of £915 million in extra money to the 72 EFL clubs, and most believe they have “little option but to accept the offer” from the top tier.
The rest of the football pyramid has long demanded larger financial provisions from the financial giant at the top, with the Premier League’s might influencing the Championship each season thanks to the parachute payments clubs receive – the first year is presently worth £44 million.
According to Martin Ziegler of The Times, “there are growing fears among second-tier clubs that teams relegated from the top flight will get extra spending advantages under the ‘New Deal’ agreement between the Premier League and the EFL.”
The six-year arrangement is worth a total of £915 million in fresh money to the 72 EFL clubs, and most believe they have “little option but to accept the offer” from the top tier.
The rest of the football pyramid has long demanded larger financial provisions from the financial giant at the top, with the Premier League’s might influencing the Championship each season thanks to the parachute payments clubs receive – the first year is presently worth £44m.
With Leicester City still at the top of the table despite back-to-back defeats, Leeds United surging in third, and Southampton looking similarly ominous a point back in fourth, the three relegated sides from the summer are clearly dominating.
If it hadn’t been for the record-breaking form of a recently promoted side in Ipswich Town, the top three positions would already be taken by those who are now enjoying from the cash boost of their first season in League.
The parameters of the proposed new arrangement will change, but while EFL clubs would be obliged to limit their salary spend to 70% of their revenue, clubs moving down from the Premier League will be forced to limit it to 85%.
Fears have been expressed that the new system will “give even more advantages to relegated sides,” with one EFL club chief predicting a “cliff edge” between the three relegated sides and the rest of the division.
With West Brom having already squandered the benefit of the parachute payments they received the previous time – they ended after the second season in the Championship with the club only in the top division for a single season – they are now on the wrong side of the split.
If that position worsens in the future, the pressure on Carlos Corberan to get his team back to the promised land as soon as feasible would increase.
And, because the Baggies’ financial condition has worsened as a result of the off-field turmoil, the need for a takeover as soon as possible becomes even more essential, in order to avoid long-term exclusion from the elite.