Loan deals are part and parcel of modern football.
From Premier League prodigies looking for game time, to League One clubs seeking short-term fixes, temporary transfers are everywhere. Just this season, we’ve seen players like Samuel Iling-Junior loaned out from Aston Villa to get much-needed minutes.
The loan system offers opportunities—but it’s far from perfect. In many cases, it benefits the parent club far more than the team doing the heavy lifting of player development.
As it stands, the EFL loan market is in need of serious reform. While it’s designed to balance out inequalities between the top and lower tiers, it often reinforces them instead. Here’s why it’s broken—and what we can do to fix it.
The Problems with the Current Loan System
Squad Instability
One of the main drawbacks of relying on loan players is the instability it creates. Managers constantly rotating borrowed players in and out of their squads can disrupt cohesion and hinder long-term planning. It’s hard to build a sustainable project when your key assets belong to someone else.
Adaptation Challenges
Young players on loan frequently struggle to settle into new surroundings. A different city, a new style of play, and unfamiliar teammates can all impact performance. Not every loanee hits the ground running—and clubs often suffer when those players need months to find their feet.
Lack of Autonomy
Many young players don’t choose their loan destinations. They’re sent wherever a deal suits the parent club. That lack of agency can weigh on their development and mental well-being. It’s difficult to perform when you’re not fully invested in the move.
Uncertainty and Recalls
Loans are a gamble. There’s no guarantee of success, and the dreaded recall clause can blow a hole in any club’s plans. Losing a key loanee mid-season can derail a campaign, as many sides have experienced after building systems around temporary stars.
Financial Burden
Lower-league clubs often still pay loan fees or contribute to wages, limiting their already-tight budgets. For smaller teams, this can be a high-risk investment that offers little long-term return.
Reforming the Loan Market: A Radical but Fair Proposal
It’s time for the EFL to take control of the loan market and reshape it into something that works for everyone—particularly for the clubs doing the real work of developing young talent.
Loan Pool from Oversized Squads
Clubs with first-team squads of over 50 registered players should be required to place a portion of their young or fringe talent into a centralised EFL loan pool. This pool would be accessible to EFL clubs at the start of each season. The idea? More opportunity, fewer backroom negotiations, and a levelling of the playing field.
Free Loans, No Wage Burden
Players from the loan pool would come at zero cost to the loaning club—no wages, no hidden clauses. Big clubs shoulder the salaries, while lower-league teams benefit from a genuine injection of quality. It’s a fair trade-off, given that those clubs are handling the development legwork.
Draft-Style Allocation
Rather than frantic last-minute deals, EFL clubs could select players in a draft format from the loan pool before the season begins. This would encourage planning and parity, avoiding the usual scramble for talent once the season is underway.
Locked-In, Season-Long Deals
No more mid-season recalls. All loans from the pool would be locked in for the entire campaign. This would ensure squad stability and allow coaches to build their tactics around players they can count on from August to May.
Development Fee on Future Transfers
Lower-league clubs who take on a loan player from the pool would be entitled to 5% of any future transfer fee as a development bonus. This rewards clubs who invest time and energy into nurturing talent that eventually moves on. Currently, many EFL teams help shape future stars—and their only compensation is a short-term boost on the pitch.
A Better System for All
What the EFL needs is a loan system that works for all stakeholders. Young players deserve meaningful opportunities in stable environments. Lower-league clubs should be supported, not squeezed. And big clubs, if they’re going to stockpile talent, must be prepared to share the load of development without financial strings attached.
In its current form, the loan market can be chaotic, unbalanced, and in some cases exploitative. A reformed, regulated, and centralised approach would transform it into a tool for growth—one that strengthens the entire pyramid from top to bottom.
The players are out there. Let’s make sure they’re getting the right opportunities—in the right way.
