How Leeds United owner's calls for a Premier League 2 could affect Sunderland

Leeds United owner Andrea Radrizzan has called for the creation of a potential Premier League 2 - but how could that impact Sunderland?

Thursday, 11th October 2018, 3:49 pm
Updated Thursday, 11th October 2018, 3:53 pm
How Leeds United owner's calls for a Premier League 2 could affect Sunderland

The Whites owner cited the TV revenue difference between the Football League and the Premier League - believing his club are being shortchanged by the broadcast deals.

With that followed a suggestion to form a second version of England's top flight, all of which makes for an interesting read.

Confused as to what it might mean should the change come into place? We've answered four simple questions on why it could be created, what it would mean for current second tier clubs - and League One and Two clubs, how it would form and when could we see a Premier League 2 come into place.

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Radrizzani believes a second Premier League should be created so Championship clubs can receive more television revenue.

Sky currently pays £90million to the EFL to stream its games, which works out at around £7million per club compared to top flight clubs who receive at least £100milion before a ball has been kicked for the league's domestic and international broadcasters.

Clubs relegated from the Premier League are given £75million in parachute payments over the subsequent two seasons if they stay in the second tier. For recently relegated clubs, they gain a significant financial advantage over teams currently in the league - Radrizzani believes it is "not sustainable".

Because each EFL club is awarded the same amount of TV money, it works out that clubs at the top of the Championship are earning the same amount as teams at the bottom of the Football League by the EFL's broadcasters.

A Premier League 2 would likely separate from League One and Two, so second tier clubs are earning more than England's bottom two tiers and perhaps earning closer to the money Premier League club are receiving.

In Sunderland's case, should they remain in the third division for the foreseeable future, the Black Cats could lose out on valuable TV money if a Premier League 2 was to be formed.

However, should Jack Ross' side achieve promotion back to the Championship, any potential Premier League 2 would likely prove to be a positive move.

Radrizzani also suggested the change would ease the pressure on Championship owners when worrying about their finances. Indeed, he says that it would prevent potential bankruptcy and frequent changes in ownership.

Any new second tier - whether it be called the Premier League 2 or something else - would effectively be a new name for the Championship, though would prove a greater financial gain for clubs.

Like the current system, it would likely feature 24 clubs and while relegated Premier League clubs could still be awarded parachute payments, the current financial gap should be shortened.

The EFL's current TV deal with Sky will increase to £120million next year and will run until it's initial expiry date at the end of the 2023/34 season.

However, there is no reason to believe why a Premier League 2 could not be created earlier should both parties have a desire to strike a deal.