‘Peasants vs. Marie Antoinette': What thexa0Premier League does with its billions of dollars is riling 72 other soccer clubs

In Istanbul in June 2023, Manchester City lifts the Champions League trophy after a historic Treble-winning campaign. The club’s Abu Dhabi-based owners have spent over a billion dollars since 2008 to transform City into a successful football and commercial powerhouse. On the other hand, Reading FC, recently relegated to the third tier of English football, is facing financial hardships. Failure to pay players and tax bills has led to multiple points deductions for Reading, as well as fan protests. This highlights the growing gap between the 20 teams in the Premier League and the other 72 clubs in the English Football League (EFL). The Premier League’s TV rights agreement is worth billions of dollars, while the EFL’s agreement is significantly less. Premier League clubs take advantage of this financial disparity by signing promising players from lower league sides. However, this deprives lower league clubs of potential transfer revenue. A proposed deal to share funds among the English football pyramid was not accepted by a majority of Premier League clubs, leading to criticism from the EFL and calls for more financial support. An independent regulator for English soccer could be established to oversee the top five tiers, ensuring financial stability and fair distribution of funds. The introduction of an independent regulator comes as some Premier League clubs face penalties for breaching financial regulations. The outcome of their appeals could affect the standings and integrity of the Premier League. The Premier League and its clubs are committed to implementing a new financial system and reaching a sustainable agreement with the EFL. Despite financial difficulties, Leicester City, which is near the top of the second tier, denies any wrongdoing and has taken legal action against the Premier League and EFL.