Sheffield Wednesday and Sheffield United stand to benefit if agreement is reached on a new income share deal

Premier League and EFL executives are understood to be meeting on Tuesday to discuss a new deal on the distribution of top-flight television income.

Sky News was first to report the gathering of league chairs and chief executives – alongside Independent Football Regulator (IFR) chair David Kogan and its chief executive Richard Monks – for further talks on a deal.

A meeting took place on Tuesday, with Sky News reporting top-flight clubs could vote on Thursday on a 10-year distribution deal worth £1.5billion if the Premier League believes it can secure a 14-club majority to approve it.

The leagues and the IFR declined to comment when contacted on Tuesday.

Kogan told the leagues earlier this year that the “clock was ticking” on a new deal, with the IFR having been granted backstop powers to impose a settlement on the leagues if they cannot agree one themselves.

Kogan, speaking at the Financial Times Business of Football Summit in February, stated that relegation between leagues at all professional levels of the English pyramid could spell a “death sentence” for clubs.

The IFR is set to publish its ‘State of the Game’ review in October which will examine the financial flows in the game, but there is now a possibility of a deal being struck ahead of that.

Sky News reports that the deal contains a provision for parachute payments to be reduced over a three-year period, the establishment of a £20m ‘lifeboat fund’ for EFL clubs entering administration and a requirement for EFL clubs to spend 20 per cent of the funding on infrastructure investment.

Higher-earning clubs would shoulder more of the funding burden, Sky News reported, and the increase would also be funded through an increase in the transfer levy.