What financial support is available to football clubs?
- Sam Greasley-Machin
- Dec 30, 2020
- 2 min read
While this project has made it clear that there isn't sufficient financial support for football clubs, especially when compared to other industries, nonetheless there remains some.
£50M grant for League's One and Two
After months of back and forth, debates between the EFL, FA and the Premier League on December 2nd a £50m grant was awarded to League's One and Two. It is not required to be paid out and an initially £30m was split between the 48 sides immediately to make up for gate receipts. League One sides received a minimum payment of £375,000 and League Two club's a minimum payment of £250,000 each. Half of that £30m was then allocated on a 'lost gate revenue share calculation' which is to be approved by the EFL and the Premier League.
The remaining £20m is then a monitored grant to be allocated on a need basis - of which a panel decides eligibility.
£200m loan for Championship sides
With the Championship in an abundance of rich owners, although that isn't the case for all sides such as Wycombe, a different package was arranged at the same time as the grant for the leagues below. The EFL secured a £200m loan from the Premier League for Championship clubs who wanted to borrow the finances.
Loans are capped at £8.33m per club and must be repaid by June 2021 and is not available for clubs in breach of EFL regulations such as FFP.
Government's winter survival package
The Government announced on the 20th November a survival package for sport of £300m. From this, the National League/s was awarded £11m to cover the period between January-March 2021 following a national lottery grant of £10m for the first half of the season.
In the rescue package funds were also allocated to the women's game with £3m awarded to the top two divisions and the leagues below receiving £14m between steps three-six. With the government stating the men's game is wealthy enough to support itself. Although at the time no bailout for the EFL or Premier League had been agreed.
Comments