Friday, April 03, 2020

Hereford Could Benefit From Premier League Package

Hereford FC could benefit from the decision of the Premier League to advance £125M of funds to EFL and National League clubs to help with cash flow problems because of coronavirus.

This is part of a Premier League statement issued earlier this afternoon:

The sporting and financial implications for Premier League clubs as well as for The FA, EFL and National League were considered at today’s meeting.

In the face of substantial and continuing losses for the 2019/20 season since the suspension of matches began, and to protect employment throughout the professional game, Premier League clubs unanimously agreed to consult their players regarding a combination of conditional reductions and deferrals amounting to 30 per cent of total annual remuneration. This guidance will be kept under constant review as circumstances change. The League will be in regular contact with the PFA and the union will join a meeting which will be held tomorrow between the League, players and club representatives.

Discussions also took place regarding financial relief for clubs in the short term and while there is no single solution, measures are to be put in place to immediately deal with the impact of falling cash flow. Critically, the League unanimously voted to advance funds of £125 million to the EFL and National League as it is aware of the severe difficulties clubs throughout the football pyramid are suffering at this time.

Usually Premier League money is split 80 per cent to the Championship, 12 per cent to League One and eight per cent to League Two.

How much will filter down to the National League remains to be seen but say 2% is forwarded that would be £2.5M.

If that was shared equally between National League clubs they would receive just under £40,000 each. However National Premier clubs may be deemed more important that National North and South clubs and therefore may be awarded the lion's share of any financial relief.