Manchester City’s legal action against the Premier League could reportedly threaten a £900million funding deal for EFL clubs.

City, who recently won their fourth successive title, have challenged England’s top flight over rules that limit the amount of money which can be offered in sponsorship by companies linked to owners of clubs.

That case, which is set to begin on Monday, could now put the funding deal in jeopardy for Wanderers and other clubs across the Championship, League One and League Two.

A report by The Times claimed some Premier League sides are reluctant to commit extra funds to the EFL in case the financial rules limiting spending in the top flight are deemed unlawful.

Earlier this year, a six-year deal granting around £150million per season over the next six years had been proposed. However, 10 clubs were reportedly against a vote which meant that no agreement was reached.

Former Manchester United defender and Salford co-owner Gary Neville slammed the Premier League at the time for failing to agree a new deal.

He told Sky Sports: “It is about the welfare of the game and the sustainability of the whole league.

“The Premier League at this moment in time are negligent in their dismissive nature, just pushing it down the road, thinking ‘maybe a regulator will sort it, maybe we will sort it’ and not doing anything.

“That is not good governance, it just demonstrates to me that they are not looking after the whole game like they should be.

“It angers me every time I see they have a Premier League meeting and seem to look after themselves but not look after the rest of football.”

Last month, Tracey Crouch MP wrote on social media: “My final plea is to the Premier League and EFL. Please, for the sake of football, sit back down and start negotiating a deal. The impasse is infuriating. I know it is complex but please, agree a deal."