Premier League clubs will vote next week on a proposal put forward by Crystal Palace aimed at boosting the competitiveness of English sides in Europe.
UEFA's coefficient payments are based on a club's last 10 years of performances in Europe and, as such, benefit traditional elites and disadvantages recent qualifiers -- such as Aston Villa, who will return to the Champions League next season for the first time since 1983.
Newcastle, for example, were only given £3.8million in coefficient payments by the European governing body last season, while Manchester City received £28m.
Palace's proposal would alter the Premier League's profit and sustainability rules to allow clubs in Europe to claim the difference in coefficient funding between themselves and the top clubs in the division as allowable losses.
Villa, who are believed to be close to breaching breaching PSR’s maximum losses of £105m over three years, would therefore be allowed an extra £20-30m in leeway.
Palace's proposal is viewed as an alternative to Villa's own suggestion of raising the threshold for allowable losses by £30m to £135m over three years.
Clubs will decide on the plans at next week's AGM, which will also include a vote on a proposal brought forward by Wolves to scrap VAR.
The Premier League is in favour of keeping the technology and improving it, and a majority of clubs are expected to vote down Wolves' suggestion, despite widespread sympathy over their arguments.
