Prem clubs to get 4yrs worth of payments if they go down
West Ham United co-owner David Gold has confirmed all 20 top-flight chairman have voted unanimously to approve the plans that were initially put forward last week.
Each season the three relegated teams will continue to receive a share of the Premier League’s TV revenue for the next four years instead of two – which equates to ‘a figure in the region of £48 million’, Gold added.
‘It’s a unanimous decision and it just needs to be ratified at the summer meeting,’ Gold told Sky Sports News.
‘It will continue to be 50 per cent of the regular TV share per club for the first two years and an additional 25 per cent for the next two years.
‘This will benefit all clubs, including those in the Football League and we all see this as a good day for football.’
Currently, teams receive payments from the Premier League for 24 months after they go down, although these cease if the club gains promotion to the top flight within that period.
The idea is that it cushions the blow for teams who drop out of the top division, and therefore lose out on vital TV revenue from the Premier League rights – estimated at between £30 and £40 million a year.
However, critics suggest extending these payments will create a two-tier system in the Championship whereby teams who have been relegated in the previous season will have far greater spending powers than their counterparts.
It is unclear when the new rules will be implemented, although the suggestion is they could come into force for the three clubs relegated at the end of this season.