Sky Sports to Defer £170m in Collective Rebate for Premier League Clubs Until 2021/22 Season

The Premier League and major top flight broadcaster Sky Sports have struck a deal to defer a substantial fee of over £170m owed by clubs until the 2021/22 season.

Financial worries are looming large over English football clubs, but those issues are also affecting a number of broadcasters who too have suffered heavily from COVID-19 bringing a halt to top flight action.

All 20 Premier League clubs are facing the terrifying prospect of potentially needing to pay back up to £762.2m to domestic partners as well as international broadcasters - this being the worse case scenario should the season end prematurely.

Even with the season being concluded, Premier League clubs were informed that they would need to pay out £330m, with £223m going to broadcasters and £107m to international broadcast partners.

However, as per The Athletic, there will be some respite for top level English clubs after a settlement was agreed that will see Sky pay its entire scheduled fees as usual for the remainder of the 2019/20 season, as well as the following campaign, worth around £170m.

Lessening the financial load weighing heavy on the clubs will allow them to protect imminent cash flows, as the lack of matchday revenue and sponsorship's have hit clubs hard up and down the country.

Sky's rebate will be paid back in the 2021/22 season, with it hoped that the financial woes clubs are dealing with will have settled by then. The final sign-off from clubs is yet to take place but is widely expected to go through.

This decision could also have the potential for clubs to be more active in the transfer market, with the added breathing space opening the door slightly for more activity this summer.

Incredibly, however, should the season not be completed then Sky will not be prepared to defer their rebate, meaning all broadcasters will demand the £762m in full.

Yet even with Sky's settlement, other money is owed from Premier League sides. The aforementioned £107m to international broadcast partners needs to be paid out by the end of July this year.