EFL to offer £50m short-term relief package to clubs

19 Mar 2020

By: Sport Industry Group

The EFL will offer up a £50m relief fund to help clubs hit by cashflow issues because of the coronavirus cancellations.

All EFL, FA, Premier League and National League games have been postponed until at least 3rd April - though a further postponement is likely - and the EFL board has said that it will take steps to assist clubs in the short term.

After a board meeting on Wednesday 18th March, the EFL said in a statement, “Discussions centred on financial relief for clubs in the short term and while there is no one single solution, measures are to be put in place to immediately assist with cash flow via a £50million short-term relief package.

“This fund consists of the remaining Basic Award payments being advanced to clubs immediately, with the remainder made up through interest-free loan facility available to clubs, calculated in line with the EFL’s Article of Associations.

"The cash injection is included as part of a series of measures, that includes potential Government support to help clubs and their associated businesses through this period of uncertainty. The EFL welcomes last night’s announcement made by the Chancellor of the Exchequer, and is continuing discussions to understand how our clubs can access the funding made available to support businesses.”

The relief fund will see Championship clubs receive an £800,000 award payment from the Premier League, while they will also be able to apply for an interest-free loan. Meanwhile, League One and League Two sides will receive an award payment as well as being able to apply for smaller loans.

In addition, £1m from the EFL Futures pot, which was set up to reward clubs for playing home-grown young players, will be allocated on a pro-rata basis.