English soccer’s Premier League (EPL) has presented the second-tier English Football League (EFL) structure with an updated financial redistribution proposal that will see the top-tier league increase its payments to the EFL by £358 million ($448.8 million) over the next three seasons by selling their future international TV rights together.

UK news outlets The Guardian and the Daily Mail said plans were presented to EFL clubs yesterday (September 28) at a general meeting in Derby. Once the EFL provides feedback on the deal, the EPL will look to present an updated formal proposal to the clubs. The 72 EFL clubs will then vote on whether or not to accept the deal.

If agreed, the new deal would see EFL clubs receive an extra £88 million in the current 2023-24 season, an extra £101 million next season, and an extra £169 million in the 2025-26 season.

The figures will continue to increase for the following three seasons as part of the overall six-year agreement, with the second-tier Championship clubs getting 75% of the cash, while the third-tier League One and fourth-tier League Two clubs receive 15% and 10%, respectively.

The EFL clubs believe the offer represents around 14.75% of the combined overseas media revenue of the EPL and EFL, depending on the exact figures of future television deals. However, it is well below the 25% the EFL is looking to secure.

The EPL has argued the amount equals around 21% once transfer levies and other payments are considered.

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By GlobalData

While the deal presented is only for international television from the 2028-29 season onwards, it could be eventually expanded to include domestic TV rights in the future.

The Premier League’s current international television contracts generate around £5 billion for a three-year cycle.

In a statement, the EFL said: “As several important issues are still to be resolved, it was made clear at the meeting that nothing has been agreed with either the Premier League or its clubs. As such, EFL clubs were not required to vote or take a decision on any matter but instead held a proactive debate on the current status of the discussions.

“To maintain momentum, the league will now enter into targeted consultation with all EFL clubs in smaller groups, to consider additional context and detail of the proposal.

“Club views will be collated to inform the discussions with the Premier League, which have been ongoing throughout 2023, as we seek a speedy and satisfactory conclusion to improve the financial health of EFL clubs.”

The deal proposal includes several caveats, including that League One and League Two clubs must set aside part of their allocated funds for facilities to ensure it is not all used on transfer fees and player wages and that the EPL under-21 clubs playing in the EFL Trophy must be guaranteed more matches. There are 15 under-21 clubs participating this season.

Another stipulation is that parachute payments to clubs relegated from the top-flight to the Championship must continue despite opposition from the EFL. Parachute payments allow freshly relegated clubs to spend a higher amount than other clubs playing in the Championship, which they believe distorts competition in the division.