Town chairman David Sheepshanks has spoken about the current ITV Digital crisis threatening the future of Football League clubs. Sheepshanks said that Town would be unaffected as long as they stay in the Premiership, however were they to go down they could find themselves worse off than previously expected.

Sheepshanks, part of the Football League team which began negotiations with On Digital, now ITV Digital, is not underestimating the effect the current situation could have on the game: "If Carlton and Granada are allowed to get away with this then I would consider that our game faces its biggest crisis in modern times."

But he's sees Town's future as more secure - as long as they remain in the Premiership: "As far as Ipswich Town is concerned our finances are in relatively good order provided we can maintain Premiership status, on the subject of which I remain both determined and optimistic. But if the worst were to happen the a reduction in money from television contracts would only make the situation worse."

Earlier in the season Sheepshanks said that Town's £25 million bond set-up to meet the costs of stadium redevelopment was based on projections of income if Town were a First Division side. With ITV Digital now in administration, and claiming they are unable to meet the agreed payments, Town's situation if relegated is likely to be much worse than previously envisaged.

Town's income would be less than expected and, with the majority of clubs affected by the reduction in TV cash, Town would find it harder to find English buyers for the players they would need to offload in order to reduce the Premiership wagebill to managable proportions.

Sheepshanks had harsh words for Carlton and Granada, the parent companies of ITV Digital, who claim they do not have to meet that company's obligations: "I am disturbed and frankly surprised that Carlton and Granada are now seeming to distance themselves from what I believe are clear obligations. They are both PLCs who must surely be responsible for the contracts of their subsidiaries.

"They must surely be held responsible for contracts that were freely entered into.

"Going back two years, I chaired the Football League committee that sought to re-negotiate the television deal. I was involved to near the end, but then had to come off it due to our promotion to the Premiership.

"It was clear to me that On Digital, now ITV Digital, were extremely keen to secure the Football League contract and I cannot contemplate that such agreements were entered into without the clear knowledge of Carlton and Granada."

Sheepshanks is no longer involved with the Football League board but urged them to "stand rock solid" and pursue Granada and Carlton for the remainder of the £315 million agreed in the contract.

The Town chairman urged the Premiership to back-up their Football League counterparts: "I hope that the Premiership and Football Association stand shoulder to shoulder with the Football League on this issue. The consequences are tantamount to a breach of contract by these television companies. It would be dire for the game as a whole."

TWTD understands from contacts at ITV that there were those within at least one of those companies who felt the company was making a mistake when the deal was signed.

It has long been felt that football is disproportionately funded by the media, something Sheepshanks understands: "It is well known that the finances of football are now disproportionately underpinned by television and new media rights. This action by ITV Sport hastens the day for a major review and action over the way the economy of all professional clubs is run."

The question is how many clubs might go to the wall while the forced review is carried out.

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