Premier League Official Statement – TV deal announcement
The Premier League have released an official statement on Thursday morning.
The statement confirming a ‘new’ TV deal.
Basically, this ‘new’ deal is a repeat of the existing one, seeing once again the same UK live and non-live broadcast agreements with Sky Sports, BT Sport, Amazon Prime Video and BBC Sport for 2022-2025.
Agreement was needed from the Government to make an exception, as otherwise this agreement without going through the usual bidding process would have broken business competition legislation.
The arrangement gives the Premier League stability and similar financial strength, at a time when the most recent domestic TV deals in Italy and Germany have seen a fall in the revenues agreed.
They also correctly called that the Government had made an exception to the competition legislation, only on the basis that the Premier League gave an additional £100m to clubs / football below the top tier.
The official Premier League announcement confirming this to be the case.
Premier League Official Statement:
Premier League clubs have unanimously agreed a proposal to conclude a three-year renewal of the League’s UK live and non-live broadcast agreements with Sky Sports, BT Sport, Amazon Prime Video and BBC Sport.
This follows approval in principle for the renewal from Government after an extensive period of consideration.
The approval from Government will be embodied in an Exclusion Order under the Competition Act 1998, which will enable the Premier League to conclude the renewals without conducting its normal broadcast rights tender process.
In light of the damaging impact of the COVID-19 pandemic throughout the English football pyramid, the Premier League was able to demonstrate to Government exceptional and compelling reasons for the Exclusion Order.
Safeguarding financial support
This is based on the renewals safeguarding the world-leading levels of financial support committed to the football community through solidarity, youth development and wider community and good causes contributions.
The UK renewals for the next broadcast cycle – from seasons 2022/2023 to 2024/2025 – will be concluded at the same overall value as the current arrangements between the Premier League and its broadcast partners.
As part of the Premier League’s developing strategic plan, the renewals will provide financial certainty to clubs throughout professional football as a result of maintaining current levels of support and enables the League to commit to increased funding. This will give security and continuity throughout the pyramid until at least 2025.
Pre-pandemic, the Premier League budgeted to commit £1.5bn to the pyramid over a three-year period, more than any other sporting organisation provides to its community.
Additional £100m funding
On the basis of the Exclusion Order and the UK renewals, that commitment will be maintained during the next rights cycle and will be supplemented by an additional £100m of funding. This additional £100m will be provided over the next four years only, and will extend support to areas of the football community particularly vulnerable to the impacts of COVID-19.
The additional funding will be available to more than 1,000 clubs in the National League system, women’s and girls’ football, EFL League One and League Two clubs and the Football Foundation. It will also support a number of football-wide projects, which will include the Premier League’s work looking at head injuries in football, anti-discrimination and fan groups who receive funding from the Premier League.
Richard Masters, Premier League Chief Executive, said: “The Premier League would like to express our gratitude to our broadcast partners for their continued commitment to the Premier League and support for the football pyramid.
“We are hugely appreciative of the Government agreeing in principle to allow this arrangement and for their continued support for the Premier League and the English game. COVID-19 has had a significant impact on football, and renewals with our UK broadcast partners will reduce uncertainty, generate stability and promote confidence within the football pyramid.
“We know that, once concluded, this will have a positive impact on the wider industry, jobs and tax revenues and will enable us to maintain and increase our existing solidarity and community financial commitments to the football pyramid for the next four years, even though we are yet to understand the full impact of the pandemic.
“It comes at an important time and will enable us to plan ahead with increased certainty against a more stable economic backdrop.
“Sky Sports, BT Sport, Amazon Prime Video and BBC Sport are excellent partners and provide fantastic coverage and programming to bring our competition to fans in the UK.”
The Premier League continues to develop its strategic plan and will consult with all stakeholders to ensure a vibrant, competitive and sustainable football pyramid. The plan focuses on competition structure, calendar, governance and financial sustainability.’
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