Premier League makes statement in decision that impacts Leeds United, Leicester City and Championship rivals

Premier League clubs have decided not to increase their funding to the EFL after their latest meeting. England's biggest and richest league has regularly contributed money to the EFL's three leagues as part of a commitment to grow football across the country, and indeed to prevent the Premier League pulling too far away from the leagues below.

At present, the Premier League sends £1.6billiion to lower levels of football over a three-year period, but there was hope that EFL clubs could benefit from the huge TV money brought in by the top tier. Though, the latest Premier League meeting, which includes shareholders of the 20 clubs, came and went without an offer of increase investment for lower levels of football.

Instead, the Premier League will pledge money to a new financial system that will replace the current profit and sustainability model, which is based around Financial Fair Play. A Premier League statement read: "At a Premier League shareholders’ meeting today clubs agreed to prioritise the swift development and implementation of a new league-wide financial system. This will provide certainty for clubs in relation to their future financial plans and will ensure the Premier League is able to retain its existing world-leading investment to all levels of the game.

“Alongside this, Premier League clubs also reconfirmed their commitment to securing a sustainably-funded financial agreement with the EFL, subject to the new financial system being formally approved by clubs.

“The league and clubs also reaffirmed their ongoing and longstanding commitment to the wider game which includes £1.6 billion distributed to all levels of football across the current three-year cycle. The Premier League’s significant funding contributions cover all EFL clubs and National League clubs, as well as women and girls’ football, and the grassroots of the game.”

The Government has already said that it wants the Premier League to do more for the wider game, requesting that the leagues agree a package between themselves to avoid one being forced upon them. A Government source told the Daily Telegraph of the lack of new offer: “(It's) absolutely shambolic given they briefed over the weekend that it would definitely go to a vote, and they have been ‘quietly confident’ it would pass for the last 10 days”. The EFL has not commented and will discuss the issue at a board meeting.

As for the new financial model, it's believed the Premier League will look to model a new system on squad cost to revenue ratio that is contained within UEFA's Financial Sustainability Regulations.