EFL chief highlights financial risk amid PFA legal action over wage rules
3 sources • 1 min read • Latest: Aug 14, 2026, 1:01 PM
Last updated Aug 14, 2026

EFL chief executive Trevor Birch addressed the ongoing financial instability in the football pyramid in an open letter, coinciding with the Professional Footballers' Association's (PFA) legal challenge against new financial rules set to replace the Profitability and Sustainability framework. The new Squad Cost Rules will reduce the percentage of turnover for wages in League One from 60% to 50%. Birch underscored the unsustainable financial situation of EFL clubs, with average player expenditure and losses significantly rising in recent seasons. He noted that litigation would not solve underlying financial challenges, and called for a more equitable distribution model alongside the Premier League.
- •EFL introduces Squad Cost Rules, effective 2026-27.
- •PFA argues legal action necessary without full agreement on changes.
- •Average League One player costs have doubled in five seasons.
- •Birch emphasizes need for sustainability versus short-term ambition.
- •Calls for fairer financial distribution from Premier League.
- 1:01 PMYahoo Sports — EFL says losses not sustainable after PFA legal action
- 1:01 PMBBC Sport — EFL says losses not sustainable after PFA legal action
"The level of losses in football creates "a systemic insolvency risk" for the pyramid, says EFL chief executive Trevor Birch.
"The level of losses in football creates "a systemic insolvency risk" for the pyramid, says EFL chief executive Trevor Birch.
Sources
External links- Yahoo SportsAug 14, 2026, 1:01 PMEFL says losses not sustainable after PFA legal action
The level of losses in football creates "a systemic insolvency risk" for the pyramid, says EFL chief executive Trevor Birch.
- BBC SportAug 14, 2026, 1:01 PMEFL says losses not sustainable after PFA legal action
The level of losses in football creates "a systemic insolvency risk" for the pyramid, says EFL chief executive Trevor Birch.
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