PL TO BAIL OUT FL

Last updated : 20 October 2002 By editor

‘The two organisations are preparing to hand their lower-division brethren at least £10m in gifts and loans in a bid to stop the Football League's deepening financial crisis forcing clubs under,’ reports the Observer.

Both the FA and Premier League have accepted that it is their duty to help First, Second and Third Division clubs adjust to the harsh financial climate caused by the collapse of the Football League's £315m television deal with ITV Digital last spring. FA chief executive Adam Crozier, his Premier League counterpart Richard Scudamore and Professional Footballers Association boss Gordon Taylor have held meetings over the last few weeks with Colchester United chairman Peter Heard, the League's acting chairman, and Andy Williamson, its operations director, to discuss how much is needed.

The FA is thought to be ready to provide the bulk of the money, which the League hopes will total between £10m and £15m and expects to receive within weeks, with the top 20 clubs the rest. Both organisations are examining how exactly they will find the money.

One vital quid pro quo is the League introducing some form of wage restraint. League chairmen say they are finally ready to take that bold step, probably starting next season. The League's Best Practice Working Group is examining what form that could take and will outline options to all 72 clubs in a meeting in Oxford on 21 November.’