By Pranav Shahaney

26th Apr, 2021 | 7:41am

Leeds United set for multi-million financial windfall

Leeds United will benefit from a bonus £83m kitty that will be divided equally among the Premier League clubs after Norwich and Watford’s immediate promotion back to the top flight.

According to football finance expert and author of the Price of Football Kieran Maguire, the two sides’ immediate promotion from the EFL Championship after being relegated from the Premier League last season will result in £83m saved in parachute payments over two years.

He believes that this amount will be equally shared among the remaining top-flight sides, a welcome financial windfall for the Whites.

The reason the payments were introduced in the first place, during the 2006/07 season, was to ensure a soft landing for Premier League sides that finished in the bottom three.

This ensures that clubs can cope with the lack of revenue that comes with being a top-flight side, while aiming to retain services of players that are under contract on ‘Premier League wages.’

However, if a relegated team earns promotion back within the three-year period they’re eligible for parachute payments, the money from the Premier League stops.

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In a market reeling from the financial consequences of the pandemic, the club will be happy with any money they can get.

After securing promotion in Marcelo Bielsa’s second season at the club, Leeds spent big money to ensure that they retain their status among the country’s elite.

The Whites broke their club record to sign Rodrigo from Valencia while they also spent sizeable chunks on talented players like Raphinha, Diego Llorente and Robin Koch.

It’s likely that the club could spend that kind of money this summer as well, despite proven to be competitive with the current crop of players – not losing a single game at home to the ‘big six’ clubs.

As the £83m will be equally divided among all the clubs, Leeds’ share in the kitty is expected to be between £4m and £5m.

In today’s market that could easily be another quality player added to the squad.

In other Leeds United news, View: Orta has made rare but huge Leeds blunder after journalist posts major transfer update