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TV revenue will make Championship a “second” Premier League and increase financial gap

TV revenue will make Championship a “second” Premier League and increase financial gap

Comments by astute Accrington chairman Andy Holt reveal a worrying trend in the distribution of TV money which will widen gaps between the Championship and lower divisions.

There is already a massive financial disparacy between the Premier League and the Championship – something that is almost certainly causing a majority of Championship clubs to overspend in a bid to reach the Premier League riches.

An idiot can see that unless you join the Championship soon, the gap will grow so big as to make it impossible. The governing bodies know this (if they didn’t they do now) and yet deliberately pursue a policy that will break away the Championship…

However, the spending now means a widening gap between the Championship and League One. In recent years, When Yeovil Town reached the second tier they quadrupled their wage bill and were still one of the division’s lowest spenders. Now, worryingly, Holt says that gap is set to widen.

Due to the way TV revenue is distributed Holt says that under the new Sky deal, Championship sides will see their TV revenue DOUBLE from £7 million in 2017 to £13 million in 2027.

However, for League One clubs this will grow from around £1.75 million to just over £2 million in the same timeframe.

Meanwhile League Two clubs will change from around £1.5 million to around £1.75 million.

It all means Championship clubs will see their income almost double, while the growth for League One and League Two will barely keep up with inflation.

Holt’s comments on the situation make for worrying reading: “An idiot can see that unless you join the Championship soon, the gap will grow so big as to make it impossible. The governing bodies know this (if they didn’t they do now) and yet deliberately pursue a policy that will break away the Championship.

“My opinion is there will be PL1 (Premier League 1) and PL2 (Premier League 2) that is it. The rest will wither and fade.

“There will be little hope of generating enough income in a football league of 48 clubs. The funding formula deliberately decouples the Championship from League One and League Two.

“It’s really as simple as that. So the only topic of tomorrow’s (Thursday’s) meeting should be the funding formula. Nothing else matters.

“This is what will destroy the Football League. It’s shocking that members of the EFL have allowed the Championship to get ten times (that of) League Two clubs of the income generated.”

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