The parachute payments controversy

There has been increasing concern about whether enhanced parachute payments for clubs relegated from the Premier League will distort competition in the Championship.   However, the picture is more complicated than it seems.

There has been increasing concern about whether enhanced parachute payments for clubs relegated from the Premier League will distort competition in the Championship.   However, the picture is more complicated than it seems.

In fact only two of the nine teams relegated in the last three seasons before the one just ended have been promoted back to the Premier League.   Two (Portsmouth and Wolves) are in lower divisions.  A complicating factor this season will be the new Championship Financial Fair Play Rules.   Two-thirds of current Championship clubs have made more than the permitted £3m loss.