Premier League clubs are pushing for a larger share of the growing revenue from the collective sale of football data rights, a move that is likely to increase tensions with the English Football League (EFL). Currently, both the Premier League and the EFL share the proceeds equally from their data rights, each receiving approximately £35 million annually. This deal, which is worth a few million pounds to the Scottish Professional Football League (SPFL), has become more lucrative in recent years, largely due to the surge in betting on football and an increased reliance on data by broadcasters.
The Premier League, as the more commercially successful of the two leagues, has seen its clubs generate the majority of the growth in data-related revenue. As a result, many of the Premier League clubs are arguing that they should receive a larger share of the pot. Historically, the distribution of football data revenue was balanced between the two leagues, reflecting the fact that the EFL’s competitions featured more matches. However, as the commercial value of football data has exploded particularly with the rise of in-game data such as expected goals (xG) and shots on target Premier League clubs are now advocating for a redistribution, citing their role in driving this growth.
Football DataCo, the company responsible for managing the sale of football data, has been at the center of these discussions. Under the current setup, both the Premier League and EFL are equal shareholders in the company. The value of the data deal has historically been modest, but with betting companies and broadcasters becoming increasingly dependent on real-time football data, its worth has soared. Premier League clubs, which have attracted much of the global attention, argue that they are the key drivers of this new wave of data commercialization and therefore should receive a more substantial cut.
A new contract between Football DataCo and its official data provider, Genius Sports, was agreed earlier this year. This deal, which begins next season, will see Genius capture and distribute live data from over 4,000 matches each season. This includes detailed statistics like expected goals and player-specific metrics, which are then sold to betting companies and broadcasters worldwide. The deal is set to significantly enhance the value of football data, which has prompted several Premier League clubs to lobby for a more favorable revenue split when the new deal takes effect.
Despite the fact that any change in the distribution of data revenue would require agreement from both the EFL and the Scottish league, there is significant pressure from the Premier League’s top clubs. The Premier League has an obligation to consider these requests, especially as the data rights are becoming an increasingly important revenue stream. However, such a shift would further strain the already delicate relationship between the Premier League and the EFL, which is already marked by disagreements over governance, financial distributions, and the powers of the proposed Independent Football Regulator.
The issue of parachute payments the financial compensation given to clubs relegated from the Premier League has also become a point of contention. Many within the EFL feel that the Premier League does not fully appreciate the value of the football pyramid, with the Premier League’s wealth and power often leaving second-tier clubs at a disadvantage. This ongoing tension, coupled with unresolved negotiations over a new financial settlement between the two leagues, has made the current discussions over data revenue even more complex.
For the Premier League, the financial pressures are not limited to revenue sharing from data rights. The league’s legal costs have skyrocketed, driven by ongoing cases related to the profitability and sustainability rules (PSR), including investigations into clubs like Manchester City, Everton, and Nottingham Forest. Legal fees for the Premier League have ballooned nearly tenfold in recent years, reaching around £50 million annually. As a result, the Premier League sees securing a larger share of the data revenue as an important way to offset these rising costs.
Internally, the Premier League is also dealing with internal discord. Before a crucial meeting of Premier League clubs scheduled for Friday, there is mounting division over proposed changes to the league’s associated party transaction (APT) regulations. The Premier League is keen to hold a vote on these changes, but Manchester City, one of the most prominent clubs, has called for the process to be paused. Aston Villa has also shown support for City’s position, adding to the complexity of the discussions.
