EFL opts for “nuclear option” as 72 clubs unite in refusal to pay tax - report

MK Dons
(Image credit: PA)

All 72 EFL clubs are threatening to refuse to pay tax this week in a desperate bid to get financial help from the government, say reports.

The move, described by one source as “the nuclear option”, comes as lower league clubs face a funding crisis amid the Covid-19 pandemic.

Matchday revenue has disappeared with fans prevented from attending games, but full salaries must be paid and a monthly PAYE tax payment is due on Thursday.

The Sun reports that the clubs that make up the Championship, League One and League Two are banding together in refusing to make the payment.

A meeting between the struggling sides resulted in the plan being put together in an effort to put pressure on the government to help out.

“It is the nuclear option, but we are at this stage if there is no help from the government or Premier League,” a source told the newspaper.

“If we all do not pay, the government can dish out winding-up orders on each of us and shut the industry if they want. But that would not be a good look.”

Clubs from all three divisions are said to back the idea, as help from the furlough scheme ended once fixtures got underway again.

The hope is that the government will be willing to open talks again. 

League One and Two clubs turned down a grant of around £400,000 last week in solidarity with the Championship teams, who were offered nothing.

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