English League Cup (EFL Cup) is the secondary domestic cup competition in England. Currently it is sponsored by Carabao so it is known as Carabao Cup. This tournament has been controversial off late as big clubs usually field under strength sides in this tournament. That is widely down to the fact there is no financial gain for winning the tournament for premier league sides. We explain why!
EFL Cup Prize Money: The winners of EFL Cup every year pocket around £100,000 in prize money while the runners-up pocket just £50,000 which is insignificant compared to what Premier League or championship sides make due to TV money. While there is basically zero prize money up until the EFL Cup semifinal stages. The losing teams in semifinals get £25,000 each.
Gate Receipts Distribution: However there is money to be made elsewhere for participating teams in EFL Cup. The gate receipts earnings of every EFL Cup match are divided into three pots. 45% each is shared by home and away team regardless where the match is taking place while 10% goes to English FA. So for example when Burton Albion lost to Manchester United few years back in EFL Cup they still managed to grab around £500,000 for their nights work at old trafford.
For two semifinals and final at Wembley in 2021, £5 million was generated via ticket & hospitality sales (£3 million in two semifinals and £2 million from the final). So the winners and runners up walked away with around £1.6 million each.
That is why this competition is very important for lower league teams who if get lucky and drawn against one of the big boys can earn as much as their two season’s revenue on one night. Below is a small illustration how much a team can make during a good EFL Cup run.
| STAGE | PRIZE MONEY | GATE RECEIPTS SHARE |
|---|---|---|
| WINNERS | £100,000 | £900,000 (45% of Wembley final gate receipts) |
| RUNNERS-UP | £50,000 | £900,000 (45% of Wembley final gate receipts) |
| LOSING SEMIFINALISTS (each) | £25,000 | £650,000 (45% of Wembley semifinal gate receipts) |
| ROUND 1 TO QUARTERFINALS | NONE | (45% of gate receipts regardless where the match is taking place) |