Premier League Clubs Agree to Plan for Spending New Revenue

Premier League clubs have agreed to spend a record sum of at least £1 billion of the revenue gained from the sale of its live broadcasting rights on beneficiaries outside the league itself between 2016-17 and 2018-19.

This figure accounts for more than 20 percent of the £5 billion United Kingdom television rights sale, with five areas of investment outlined in a statement via the official Premier League website. Chief executive Richard Scudamore is quoted as saying:

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The clubs have always stepped up to the plate when it comes to sharing their success. They appreciate that the development of the Premier League is contingent to a high degree on continued high levels of passionate support and a vibrant football pyramid. 

These are unprecedented levels of redistribution in world sport, let alone football, which will deliver long-term progress for English football whether you are a fan, lower league club or involved in the grass roots.

Clearly this package is dependent on the outcome of our international live rights and the ongoing Ofcom investigation, so the detail won’t be known until later this year or in early 2016. The clubs also committed to adopting the Living Wage for all their permanent employees by the start of the 2016/17 season at the latest. All this demonstrates once again that a good result for the Premier League is good for the rest of the game and beyond.

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The five priority areas to which the money will be devoted are "grassroots facilities, participation (the sporting and educational development of young people), fan engagement and matchday experience, solidarity with lower leagues and supporting disadvantaged groups."

As Scudamore notes, there is also an agreement to pay all full-time employees of clubs—many of whom are currently subcontracted through outside entities—the living wage.

Daniel Storey of Football365 claims this development is long overdue:

The UK sale of television rights once again showed the financial power of the Premier League on the world football stage, but this latest move promises to yield huge benefits for the future of English football.

The three-year plan will be welcomed as a major step forward in the redistribution of top-tier funding for many, with those in the lower divisions and emerging young talents likely to reap the rewards.