Clubs Stand 'Of Disaster' in State of the Game Report

By the Editorial Team · Sunday, October 18, 2026

The Independent Football Regulator has proposed a six-point plan to reform financial redistribution between the Premier League and the EFL, aiming to support clubs across all tiers and address issues like parachute payments and relegation impacts. Both leagues have expressed commitment to collaboration, but the IFR may intervene with enforcement powers if a voluntary agreement on sustainable funding and financial controls is not reached.

English football authorities have released a report outlining ongoing discussions over financial redistribution between the Premier League and the English Football League (EFL). The Independent Football Regulator (IFR), led by Chair Kieran Kogan, has proposed a six-point plan aimed at reforming the current funding and financial support system within the sport.

The plan focuses on maintaining the Premier League’s status as the world’s premier football league and the Championship’s position as the leading second-tier competition. It emphasizes the need to sustain essential funding for lower tiers while addressing financial challenges faced by clubs, particularly those relegated from the Premier League. Key points include mitigating the financial impact of relegation, reducing distortions caused by parachute payments, protecting clubs by allowing them to improve their balance sheets, and considering short-term aid for clubs experiencing severe financial distress.

In a statement responding to the report, the EFL stressed that English football generates sufficient revenue to support both a successful Premier League and a thriving football pyramid. The league reaffirmed its commitment to working with the Premier League and the IFR to achieve a financial settlement that serves the interests of the entire game.

The Premier League echoed the IFR’s preference for a football-led resolution regarding revenue distribution. It underlined the importance of coupling new funding arrangements with robust financial controls and broader reforms designed to strengthen clubs’ financial health. According to the Premier League, its proposed reforms, which were unanimously approved by member clubs in July, align with the objectives set by the IFR and aim to establish a long-term, equitable partnership with the EFL.

While discussions continue, both parties emphasize cooperation and the goal of ensuring financial sustainability across all levels of English football. The IFR has indicated it will exercise “backstop powers” to enforce a settlement if an agreement cannot be reached voluntarily.

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