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How Leeds United and Burnley have just handed Premier League clubs a whopping £51m windfall

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Premier League clubs will be thrilled following Leeds United and Burnley’s promotions to the top tier being confirmed.

The race for automatic promotion from the Championship came to an end on Monday, April 21st.

Leeds United were backed to fall apart again, as they have done so often in recent seasons.

But the Whites silenced their doubters over Easter when they beat Stoke City 6-0 to all but confirm promotion to the Premier League.

It was then over to Scott Parker’s Burnley, who faced a tough meeting against third-place Sheffield United in the day’s late kick-off.

The Clarets secured a 2-1 win over the Blades, meaning they too have now booked their place in the top flight for 2025/26.

Position Team Played MP Won W Drawn D Lost L For GF Against GA Diff GD Points Pts
1 LeedsLeeds44 27 13 4 89 29 60 94
2 BurnleyBurnley44 26 16 2 61 15 46 94
3 Sheff UtdSheffield Utd44 27 7 10 60 35 25 86
4 SunderlandSunderland44 21 13 10 58 41 17 76
5 Bristol CityBristol City44 17 16 11 57 49 8 67
Burnley FC v Sheffield United FC - Sky Bet Championship
Photo by Alex Livesey/Getty Images

Leeds United and Burnley promotion hands Premier League clubs £51m

Promotion from the Championship is worth a significant amount, with both Leeds and Burnley set to benefit greatly.

However, every side that remains in the Premier League will also be pleased that said duo managed to come back this season.

Burnley were relegated in 2023/24, with Leeds suffering a demotion to the Championship back in the 2022/23 season.

As a result, both clubs were still receiving parachute payments, which are paid out by the Premier League to relegated teams over three years once they go down.

However, as Leeds and Burnley are now back in the Premier League, finance expert Kieran Maguire has revealed that £51m, which was due to be paid out in parachute payments, will now be saved and split between the sides in the top tier.

He explained: “When Leicester and Southampton were relegated in 2022/23 and promoted the following season £102m in parachute payments were saved…these savings have been split between Premier League clubs.

“Should Burnley and Leeds be promoted today then a further £51m will be saved…this will also be divided between PL clubs.”

How much Premier League pay out in parachute payments

Leicester City, Southampton, and, more than likely, Ipswich Town, are set to be plying their trade in the Championship next season.

While the Premier League have saved money on payments to Leeds and Burnley, they are still expected to have to pay out a fair bit to the aforementioned trio.

Speaking earlier this year, EFL chief Rick Parry was discussing potential changes to parachute payments and when doing so, revealed that they earn teams nearly £50m in year one of relegation.

He told the Burnley Express: “Our starting point was to say that the big challenge for everyone in the Premier League and the Championship is the cliff edge between the two divisions, which is in excess of £100m. It’s a challenge for the teams coming up and coming down, which is ostensibly why you need a parachute.

“Parachute clubs’ year one payments are very nearly £50m, other Championship clubs get 11 per cent of that. They get just over £5m.”