Football League faces £130m (€209m) shortfall from ITV Digital - report

Football League clubs reportedly face a £130m (€209m) shortfall as ITV Digital executives attempt to renegotiate their television contract.

The original contract from ITV Digital was for £315m (€508m) over three years, with £180m (€290m) due for the two years remaining.

Now owners of the loss-making digital channel are reported to have approached the League and offered just £50m (€80m) for the remainder of the contract.

The offer is expected to be the main point of debate at tomorrow's meeting of the Football League board.

The move could have grave consequences for both struggling clubs and those who have over-stretched themselves in the expectation of future income.

Already this season, the Professional Footballers' Association has stepped in to pay the wages at 12 clubs.

ITV Digital is jointly-owned by Granada and Carlton Communications.

According to ft.com Charles Allen, chairman of Granada, and Gerry Murphy, chief executive of Carlton, have held secret talks with representatives of the League and made the new offer.

Granada also released an AGM statement from Allen today confirming talks aimed to prevent the closure of ITV Digital were being held.

The statement says: "ITV Digital are now implementing a radical cost reduction programme. Internally, they have already reduced the number of employees by 600 and cut operating costs.

"Deloitte & Touche have been appointed to assist in reducing third party costs and meetings with all key suppliers are now being held. Resolving the future of ITV Digital is a top priority."