Kieran Maguire lambasts EFL 'bluster' as '£10m' Sunderland windfall on the cards
The EFL and Premier League plan to raise merit payments at the expense of parachute payments is likely “bluster” – although Sunderland could net in the region of £10million after its introduction.
That is the view of finance guru Kieran Maguire, speaking exclusively to Football Insider about the controversial plan to revamp the English football pyramid’s distribution system.
As relayed by The Times on Tuesday (26 July, the top flight and EFL are nearing an agreement to cut parachute payments, the fees that teams receive for three years after relegation from the top flight.
The money instead would be divided up between Championship sides based on their league performance.
There are numerous other facets to the so-called ‘new deal’ for English football, including an as yet unspecified spending cap and a commitment for second-tier sides to house more loan talent.
Sunderland were promoted from League One at the fourth attempt in 2021-22.
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Maguire claims that, although some teams would benefit from the wealth redistribution, the ‘new deal’ would not address the “cliff edge between the top two tiers of the pyramid.
“The reduction of parachute payment doesn’t address the core issue of football in this country, which is the cliff edge between Premier League and Championship,” he told Football Insider’s Adam Williams.
“The Premier League claims it is addressing it, but if each individual club gets an extra £3m as a result, it’s the difference between £10m and £100m as opposed to £7m and £100m.
“So, it appears to be bluster. But, as always, the devil is in the detail.
“Seeing what the projections are and being able to assess how realistic those are is absolutely essential.”