Liverpool and Manchester United are backing a plan to radically change the Premier League’s structure, according to a report on Sunday in Manchester.
The changes will see more power being given to the big clubs, reducing the 20-club league to 18 clubs and scrapping the League Cup.
The plan will see the Premier League commit to providing 25 percent of the league’s revenue to Football League (EFL) clubs
It will also see a 250 million pounds (326.15 million dollars) package to help with the immediate impact of the COVID-19 crisis.
The report said the plans had been put together in a document called “Revitalisation”.
It was produced by Liverpool’s American owners Fenway Sports Group, with support from Manchester United’s Florida-based owners, the Glazer family.
A source with knowledge of the discussions and the document confirmed to Reuters that the report was accurate.
The Premier League, Manchester United and Liverpool did not immediately respond to a request for comment.
The proposal is for 8.5 percent of annual net league revenue to go on “good causes”, including the Football Association.
The 25 percent of remaining Premier League and Football League revenue would go to EFL clubs.
This would replace the current system of “parachute payments” to clubs relegated from the Premier League.