Report suggests new independent regulator will be involved in football’s financial issues

The regulator will also oversee a more robust owners' and directors' test to ensure club bosses are properly vetted, and introduce a licensing system paid for by the clubs to ensure they are being run sustainably, The Sun reported.

The newspaper says it has seen a blueprint of the Government's White Paper in response to the recommendations of the fan-led review, which was due to be published next week.

The report refers to the regulator being handed "Robin Hood-style powers" to "take money from the mega-rich Premier League to distribute funds across lower leagues".

The fan-led review had called for the regulator to be given backstop powers to impose a financial distribution settlement if one could not be agreed between the Premier League, EFL and the Football Association.

The three organisations are meeting regularly to discuss the so-called 'New Deal For Football' which includes cash distribution from the Premier League to the rest of the pyramid.

The EFL's chairman Rick Parry has called for a 25 per cent share in all broadcast revenues for his organisation, something the Premier League's chief executive Richard Masters had said would be a "disaster".

Parry has admitted his organisation has "virtually no leverage" in the talks and had called for a new regulator to be given backstop powers.

The report does not mention anything in the White Paper regarding a transfer levy of up to 10 per cent to further support the pyramid, which had been one of the recommendations of the fan-led review.