Interesting debate on talksport. Missed the beginning so feel free to correct me anyone. Eg Barnsley take the £8.6m on offer. 1. 20% vat on nearly the full amount. As is all income. Including players who are an asset . ( gov.coffers) 2. Not interest free. not allowed. ( PL coffers) 3. Paye footballers. Up to 55% tax.( gov. coffers) 4. Clubs with season ticket holders above the numbers allowed to attend games. Costs those clubs more to organise against no attendees. Meaning more losses. 5. was estimated for a club that receives £5m in league 1 and 2 that only £2-3m was a real figure in keeping the club afloat. After all other of the above. 6. One of the presenters said it was Rick Parry who ill thought out those proposals with the PL. not challenging the government on the above issues. Instead of getting in someone to look at the issues with experience. 7. Same presenter Suggests a lot of owners with megabucks would be better off financing the shortfall. themselves, 8. Saying PL clubs should get back to basics and not fleece the little clubs by raiding young players with very little recompense.
When I saw the deal I thought it would make things worse not better as it's sanctioning more debt. I then thought what's in it for the big clubs. That's still unclear. I reckon the Premier League will be a closed shop soon.
Kieron Maguire, who has infinite more knowledge on the topic than I, suggested it was a good deal for League One and Two but a bad deal for Championship clubs. The Championship money needs paying back in 4 years, which means Prem clubs can come in and take players on the cheap knowing they’ve got this debt hanging over their heads. I hope we tell them where to shove it. Rick Parry is proving himself to be more interested in working for the Prem than he is for the EFL.
Below is from the EFL’s own website, which you’d hope to be the most accurate and how I remember the BBC reporting it; Support for Championship Clubs The Premier League has also agreed to provide a payment commitment of up to £15m to cover interest, arrangement fees and professional fees to allow the EFL to secure a £200m loan facility that it will then on-lend to Championship clubs interest free. This says the PL are not providing the full loan (which suggests it is from a 3rd party) but will cover fees and interest, so to clubs it is interest free and the PL will not profit from it. The above EFL statement is therefore at odds with what the OP says was discussed on Talksport. Regarding VAT, wouldn’t the loan be classed as financing and not income so no VAT payable?
Thanks for that. The interest free I may have misunderstood. It was I assumed on the legal side. (Eg. Barnsley as a football club cannot give interest free season tickets. Only via a legitimate 3rd party) As I say I missed some of the debate how much not sure. But I understood the rest to be as said. Maybe it was recorded. I’ll try catch up on the gist fully.
