davieG Posted 1 May 2010 Posted 1 May 2010 From the BBC Promotion to England's Premier League could be worth up to £90m and is the biggest financial prize in world football, analysts Deloitte say. They say the prize for the Championship play-off winner may be up 50% on the value of last year. The winners will benefit from at least £40m of additional revenue in 2010/11, from television income, higher gate receipts and commercial income If relegated after a season, they may also get £48m over the next four years. The Premier League has proposed increasing payments to sides relegated from the top flight, from £24m over two seasons to £48m over four. That would take the total to about £88m. However, the Football League has rejected this expanded payments proposal for relegated teams, as it fears it could "distort competition" outside of the Premier League. Broadcast rightsPaul Rawnsley, director of the Sports Business Group at Deloitte Championship, says the Championship play-off final is "the most substantial prize in world football". "The value is now even greater as a result of the Premier League's increased revenues from international broadcast rights and the proposals to extend parachute payments over four seasons," he said. "It is a prize which provides the opportunity for sound investment and strengthening the foundations of a club for years to come." Three Championship clubs will be promoted to the Premier League next season. The two highest placed teams gain automatic promotion, with the third place going to the winner of a round of play-off matches. Five Championship clubs enter this Sunday's final round of games still in contention for promotion through the Play-offs. Nottingham Forest, Cardiff City and Leicester City are all guaranteed a Play-off spot, whilst Blackpool and Swansea City go into the last day still trying to gain their place.
purpleronnie Posted 1 May 2010 Posted 1 May 2010 I hope the increased parachute payments gets scrapped.
Edmund Posted 1 May 2010 Posted 1 May 2010 http://www.telegraph.co.uk/sport/football/7653759/Premier-Leagues-parachute-payment-plan-blocked-by-lower-league-clubs.html Premier League's parachute payment plan blocked by lower league clubsA meeting of all 72 clubs in Leicester broke up with no agreement on the proposals, which would see parachute payments for relegated sides increased to £48 million over four years, and all other Championship clubs receive £2.2 million a year. Club sources told Telegraph Sport that while there was majority support for the proposals among Championship clubs, those in League One and League Two expressed major reservations about the impact the new settlement would have. League One and Two sides would receive £325,000 and £250,000 a year respectively, but many chairmen believe that even with this money the gap to the Championship would be too great to bridge. There is widespread unease at the effect of spreading parachute payments over four years, and some clubs in the bottom two divisions even suggested that the Championship reject parachute payments. Several sources said that while there was disagreement on the issue there was no mood among Championship clubs to break away from the bottom two divisions. There is however a determination among Championship chairmen to ensure that the deal is pushed through within a month, clearing the way for Premier League clubs to vote on approving it at their summer annual meeting. The issue poses a challenge to new Football League chairman Greg Clarke, who will now attempt to thrash out a settlement acceptable to the Premier League and a majority of his clubs. "There's certain unhappiness that the four-year payment may distort competition. I wouldn't say it was a split, I'd say it was a difference of opinion," Clark said. The Premier League also wants a number of changes to Football League regulations, including a change to the way clubs are compensated for the sale of young players. Premier League chief executive Richard Scudamore has put together the package, made possible by the dramatic increase in overseas television revenue, in the hope that it will appease clubs in the top flight such as Bolton who are concerned about the impact of relegation.
Tony Pine Posted 1 May 2010 Posted 1 May 2010 i wonder where the meeting was held. that's great news (the first part) if we can get it.
purpleronnie Posted 1 May 2010 Posted 1 May 2010 that's great news (the first part) if we can get it. Why's that?
purpleronnie Posted 1 May 2010 Posted 1 May 2010 Ahhh I thought we were looking at the bigger picture, but I guess not. Part of the problem. Oh well.
BoneDog Posted 1 May 2010 Posted 1 May 2010 I was reading about this yesterday and thought it would be a total disaster for English football.
purpleronnie Posted 1 May 2010 Posted 1 May 2010 I was reading about this yesterday and thought it would be a total disaster for English football. Exactly but some can't see it, it seems (see above).
Webbo Posted 2 May 2010 Posted 2 May 2010 Exactly but some can't see it, it seems (see above). Don't you at me. I'm not saying it's right or wrong but I do think it's only natural that you don't worry about the big picture if you're not not part of the small picture. If we don't get promotion then this plan is terrible if we do then it could sort out all the clubs debt problems. I'll take that. Playing devil's advocate. If you think about this, this could mean that instead of 5 clubs with parachute money as of this season there could be up to 12. That has to make it harder to go straight back up in a season and if a club a does go up after 1 season then the extra parachute payments become irrelevant anyway.
MikeyT Posted 5 May 2010 Posted 5 May 2010 http://www.thisisleicestershire.co.uk/sport/163-90mThat-s-promotion-worth-City/article-2108353-detail/article.html Leicester City will be competing for the richest prize ever in world football when they kick-off their play-off semi-final against Cardiff City on Sunday. Promotion for Nigel Pearson's side through the Championship knock-out stages could be worth an incredible £90 million this season as a result of a new TV deal, increased parachute payments and the prospect of even greater riches from additional revenue. The play-off finalists have always had a massive carrot dangling before them, but now stand to benefit from a 50 per cent increase on the value of last season's promotion prize. The guaranteed revenue previously was estimated to be worth about £45 million and then there were two years of guaranteed parachute payments worth £22 million on top of that, should the club's stay in the top flight be a brief one. Paul Rawnsley, director of Deloitte's Sports Business Group, said: "The Championship play-off final winners will benefit from at least £40m of additional revenue in 2010-11, the vast majority of this coming from television income and the rest from higher gate receipts and increased commercial income," said "In addition, even if a club is relegated after one year in the Premier League, parachute payments may be received during the following four seasons of up to £48m. "In financial terms, this match offers the winning club the most substantial prize in world football." Martin Traynor, managing director of Leicestershire Chamber of Commerce, believes that a Premier League return for City would significantly increase the chances of owner Milan Mandaric attracting interest from other investors into the club. Mandaric has said he would like to identify some form of investment to ease the personal burden on him, which is currently between £5-6m a year, but said it was not an important issue to him at present. Traynor said: "If the team is in the Premier League, I am sure that Mr Mandaric will look at private equity investment and a possible flotation on the stock market. "There will be a lot more options available to him and a lot more interest in general in the club from possible investors. "The club would benefit financially, but it would also raise the profile of Leicestershire and could make a significant difference in our key drivers of trying to attract inward investment as well as supporting leisure and tourism in the city and county." The proposed increase in parachute payments from £22m to a reported £48m over four years was discussed at a meeting of all 72 of the Football League chairman at the Walkers Stadium last week. The chairmen could not agree to vote on that issue, and the subject of solidarity payments by the Premier League to the members of the Football League, and deferred a decision. Under the proposals, the solidarity payments to each club, which it is understood the Premier League is not obliged to pay, would increase by an estimated 500 per cent. Currently, League One sides receive about £108,000, but the new deal would see that increase to £325,000. League Two clubs would see their payments go from £72,000 to £250,000. If the deal is rejected, then the solidarity payments could stop and the parachute payments would remain at the existing level over two years. It is understood the majority of Championship clubs were in favour, although there is no indication as to how Leicester City voted. The League One and League Two clubs asked Football League chairman Greg Clarke to go back to the Premier League to "clarify certain issues." Clarke, a former City chief executive, told the BBC: "There is certain unhappiness about a four-year parachute payment which some of the clubs think could distort competition. "We have got to engineer a consensus."
FoxyPV Posted 5 May 2010 Posted 5 May 2010 Don't you at me. I'm not saying it's right or wrong but I do think it's only natural that you don't worry about the big picture if you're not not part of the small picture. If we don't get promotion then this plan is terrible if we do then it could sort out all the clubs debt problems. I'll take that. Playing devil's advocate. If you think about this, this could mean that instead of 5 clubs with parachute money as of this season there could be up to 12. That has to make it harder to go straight back up in a season and if a club a does go up after 1 season then the extra parachute payments become irrelevant anyway. The money get redistributed amongst the other clubs in the league if you go straight up again. I think it will probably end up being a really bad thing for the FL as a whole. Still.. not 100% sure though
surrifox Posted 5 May 2010 Posted 5 May 2010 definitely opposed to this. This is mainly the idea of Gartside (Bolton chairman- think that's his name) -the only way he can ensure that his poxy club is allowed to hang around the bottom of the premiership year in year out like a fart in a phone box is to suck ever increasing amounts of money out of the game to pay to foreign journeyman who would never dream of going to a club like Bolton if it wasn't for the dosh on offer- dosh which if more fairly distributed could help stop most of the rest of the country's clubs reneging on their tax and VAT obligations
Webbo Posted 5 May 2010 Posted 5 May 2010 dosh which if more fairly distributed could help stop most of the rest of the country's clubs reneging on their tax and VAT obligations It wouldn't though would it. The clubs would still push their spending beyond the limit in an attempt to buy success.
C-man Posted 5 May 2010 Posted 5 May 2010 Premier League chief executive Richard Scudamore has put together the package, made possible by the dramatic increase in overseas television revenue, in the hope that it will appease clubs in the top flight such as Bolton who are concerned about the impact of relegation. No surprises about that. Gartside is the biggest self-preservationist going. The sooner they get relegated the better.
Edmund Posted 5 May 2010 Posted 5 May 2010 To be fair if Mandaric was in the same position I doubt many would be complaining if he tried to introduce policies that benefited us. He's only looking after his club at the end of the day and can't see nowt wrong with that.
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