Leeds United: 49ers set for cash windfall at Elland Road amid £88m development
49ers Enterprises could receive a cash windfall as Leeds United and the rest of the Football League clubs are set to be provided with more funding.
The Guardian reported on Thursday (28 September) that the Premier League has presented a plan to increase the money distributed to the EFL sides by £358million over the next three seasons.
Under the terms of the deal, the newspaper said the clubs would receive an extra £88million this season, an extra £101million for the next campaign and an extra £169million the following year.
But that means they will receive just 14.75 per cent of the net media revenue from the Premier League and EFL combined, falling well below the 25 per cent they were originally hoping for.
The Championship clubs would scoop up 75 per cent of the cash on offer, but the 72 sides will have to vote on the proposal before it is pushed through.
As part of the offer to provide more funding the Premier League has, however, requested that relegated sides continue to be allowed to spend at higher relative levels than other Championship clubs, with the Guardian claiming the second-tier outfits argue that it could distort the nature of the division.
That is another reason why a swift return to the top flight would be favourable for Leeds, as the playing field is set to be levelled out next season, with the EFL money set to be distributed on merit depending on where each side finishes in the table.
The latest deal on offer would see Championship sides scoop up an extra £10million over the next three seasons, meaning 49ers Enterprises could be set for a healthy cash injection.
The group completed its takeover of the Whites on 18 July after reaching a deal with Andrea Radrizzani to purchase his controlling stake at Elland Road.
Having been involved with the club for the past five years after owning a minority stake, the American firm knows exactly how things operate in West Yorkshire.
It has been making efforts to put Leeds back on the right path after losing their way under the Italian, as former director of football Victor Orta was allowed to make one damaging mistake after another.
But things appear to be calming down now and new boss Daniel Farke was backed in the transfer market by the board, with the squad looking in a healthy position.
That means any extra funding the 49ers do receive is likely to go into the right place as its intentions appear to be clear on helping the club prosper once again.
It will, however, be hoping to secure promotion back up to the Premier League before too long, ensuring that only this season’s money provided to EFL clubs will inject a healthy boost into its coffers.
In other Leeds United news, the club are looking to put Victor Orta behind them with a new appointment set to be made.