Parachute payments have been overhauled by the Premier League for promoted clubs who are relegated after just a single year from the 2016/17 season, the Premier League have confirmed.
The change means that this seasons promoted clubs Bournemouth, Watford and Norwich City could miss out on a year of parachute payments if they go straight back down.
The payments system is also changing so that the money, at least £64million, will be distributed to relegated clubs over three years rather than four.
Clubs who go back down after a single year in the Premier League will only get the first two years of payments rather than the full three years.
However he new rules will not affect recently relegated Hull City, QPR and Burnley, with all three clubs set to receive £64million split over four years – £24million in the first year, then £19.3million, then £9.6million for each of the next two years.
Parachute payments are likely to rise significantly from the 2016/17 season due to the Premier League’s new £5.3billion deal set to take effect and relegated clubs will receive 55 per cent of the equal share of broadcast revenue paid to Premier League clubs in the first year after relegation, 45 per cent the following year and 20 per cent in year three.