Gary Neville believes that there is a “serious problem brewing” for players in the EFL closing on the end of their contracts.
Across the Championship, League One and League Two, there will be around 1,000 players whose current deals expire at the end of June.
And Neville, co-owner at Salford City, believes that the financial impact of the coronavirus pandemic will leave many struggling to find new clubs.
“There is a serious problem brewing in the next few months,” said Neville, speaking on Sky Sports News.
“Over 1,000 players in the Championship, League One and League Two are out of contract at the end of June and clubs haven’t got the money to recycle them back into the game.
“It’s going to be a shock for the whole of football. But it will be the players at the lower end of the game who will suffer the most.”
The EFL and the Professional Footballers’ Association announced on Tuesday a proposal that League One and League Two clubs defer up to 25 per cent of player wages in April, with players earning less than £2500 a month still being paid in full.
Championship clubs are expected to make individual decisions on wage deferrals.
EFL chairman Rick Parry held constructive talks with the PFA and they have also agreed to set up a working group made up of six club captains to discuss longer term solutions and it is understood pay cuts will be discussed.
Neville added: “In the next few months there will have to be player cost reductions. It is an absolute given.
“What the EFL announced yesterday was the right approach.”
Gillingham chairman Paul Scally has warned that, for many, deferrals will not be enough for League One and League Two clubs.
“They have to look at cuts because it’s the only way some clubs will survive. Clubs will not survive without cuts.”
