The renaissance of the Carabao Cup has proven the competition is integral to English football, the EFL has said, but it would be willing to change the tournament if it meant reaching a new financial settlement with the Premier League. Manchester United take on Newcastle at Wembley on Sunday in the most eagerly anticipated League Cup final in years, days after the government is expected to publish its long-awaited white paper on an independent regulator for English football. The future of the League Cup has come into question after changes to European competition meant top sides will soon play more Champions League fixtures in the autumn and winter. The EFL’s chair, Rick Parry, says ticket sales and viewing figures prove the Carabao Cup is “immensely popular” and a financial lifeline for the football pyramid. But the structure of the cup remains up for negotiation, he says, if it unblocks talks that were supposed to have been resolved a year ago. “Last year, we had a record audience for the Carabao Cup, with four million watching the final,” Parry said. “This year attendances have been up and are pretty much at record levels. It’s a competition that’s immensely popular. That said: are we prepared to have constructive dialogue given the challenges of the calendar? Yes, of course. We’re prepared to consider pretty much every possibility.” Matters up for discussion include the possibility of abandoning two-leg semi-finals and Champions League teams fielding under-21 sides in early rounds has also been mooted, if a deal that includes new levels of financial distribution can be agreed. But Parry, who is expecting the white paper to propose that a regulator has the ability to enforce or arbitrate on a settlement should one not arise, said he had yet to receive a full proposal from the Premier League. “We think there’s still an issue with getting agreement within the Premier League,” Parry said. “It’s been well reported that there has been disagreement [about redistribution] among the clubs in terms of who will pay for it and how the money will be shared. I don’t think the Premier League has a mandate to put a formal proposal to us yet.” The Premier League has responded to Parry’s remarks, with a spokesperson saying: “The Premier League and EFL have been in dialogue and we have made clear financial proposals relating to increased funding for the pyramid and accompanying financial regulation. The Premier League has clear parameters for discussions provided by a Club mandate agreed in November.” Parry’s solution is for the Premier League and EFL to pool their TV rights and split the revenues, with 25% going to the lower leagues. Money would then be distributed across the top two divisions according to merit, with the league winner earning twice as much as the side finishing bottom. “We have always said we are happy to take our chances with the regulator and argue the logic of our position,” Parry said of the wait for a resolution. “[But] we’d rather they were proactive in setting an agenda rather than having [backstop powers to force a deal]. “We do not want to sit back and wait. I think we’re looking at 2024, 2025 before the regulator is in place. We would far rather reach a solution within football prior to that. “We eagerly await the publication of the white paper to see whether [the issue of backstop powers] is addressed. If it isn’t we’ll be very negative; if it is addressed positively we’ll be a lot more positive.”