With the support of the UK government, the Premier League has agreed to roll over its existing TV rights deal with Sky, Amazon, and BT for another three years – from 2022 to 2025. The rolling over of the £4.8 billion deal from 2018 staves off fears that the already cash-strapped Premier League could’ve ended up with a significantly less lucrative agreement had it gone to auction.
The deal came through with the consent of the government, which approved the deal in principle, allowing the Premier League to extend the airing rights of the three broadcasters without allowing new entrants to bid. Without the government’s support, the Premier League could’ve been hit with an antitrust investigation for not putting TV airing rights up for auction.
Without a Rollover, the Premier League Could’ve Ended Up With a £500M Smaller Deal
The nod given by the government for the continuation of the TV rights deal ended an extremely stressful period for the Premier League officials and clubs. The alternative scenario – holding an auction for the airing rights – could’ve left the Premier League with a deal that’s £500 million smaller. This would only add to the existing financial woes of the league, whose clubs took massive matchday revenue hits due to the COVID-19 pandemic.
Not everyone walked away happy from this agreement, however, as there were reports that DAZN, a sports streaming service, was interested in buying the Premier League airing rights. DAZN has previously managed to snag Serie A TV rights from Sky.
League’s Commitment to Providing an Additional £100M to Smaller Clubs Was Crucial
The Premier League has committed to providing an additional £100 million in funding to the lower league clubs in the next four years on top of the existing £1.5 billion set aside for them. This was a crucial move that helped the league get the government’s approval for the rollover.
The Premier League’s CEO, Richard Masters, commented on the achievement: “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.”
This deal will have a positive effect on the league, its clubs, and fans, as well as UK betting sites, whose main source of revenue have traditionally been Premier League bets.