The Premier League has revealed a new financial model, which will impact both Liverpool and Everton in the future. According to a statement issued on Monday, March 11, “At a Premier League Shareholders’ meeting today, clubs agreed to prioritise the swift development and implementation of a new league-wide financial system.”
It comes as pressure is mounting on the 20 clubs to conform to harsher financial standards, with the prospect of an independent regulator being installed in the near future.
The statement goes on to say, “This new system aims to provide clubs with certainty about their future financial plans and ensure the Premier League can continue its world-leading investment in all levels of the game.”
“The Premier League clubs also confirmed their commitment to reaching a financially sustainable arrangement with the EFL, subject to club approval of the new financial system.
“The League and clubs also confirmed their ongoing and longstanding commitment to the wider game, with £1.6 billion distributed to all levels of football throughout the current three-year cycle.
“The Premier League’s large financing contributions benefit all EFL and National League clubs, as well as women’s and girls’ football and the grassroots of the sport.
“This comes at a time when there is increased pressure for reform due to financial disparity across the pyramid and government plans to appoint an independent regulator.”
The league is presently charging three clubs for breaching financial rules. Everton were the first side to be fined for this type of mistake last year, losing 10 points for exceeding the permissible losses under profitability and sustainability regulations (PSRs), according to Football London.
The Toffees are now facing a second round of accusations for violating the regulations in 2022/23. However, following an appeal, their punishment was reduced to six points.
Nottingham Forest will find out their punishment later this week. Manchester City have been charged with 115 charges of other financial misconduct and are still awaiting trial.
