The United Soccer League is preparing a major overhaul of the American pro game: a nationwide, three-tier promotion and relegation pyramid that would launch a new Division One in 2028 and operate alongside — and effectively at the same level as — Major League Soccer. If implemented, it would be the first time a top-level U.S. professional league embraces the merit-based system common in Europe and much of the world.
USL’s proposal builds an interconnected men’s structure modeled on the English system: Division One above the existing USL Championship (Division II) and USL League One (Division III), with movement between tiers decided by on-field results rather than franchise entry fees. That contrasts with MLS’s closed, single-entity model, where new clubs pay large expansion fees and operate under centralized league contracts.
Influence from England is explicit. Tony Scholes, the Premier League’s chief football officer, is expected to become president of USL Division One, and Lee O’Neill, formerly of Ipswich Town and current League One president, says foundational work is already in place. The league’s use of names such as Championship and League One deliberately echoes the English game as part of an effort to import that competitive culture.
USL leaders point to recent global stories — Wrexham’s rise, Birmingham City’s struggles — as examples that have familiarized U.S. audiences with the drama of promotion and relegation. That exposure, they argue, has created appetite among fans who watch these narratives on TV and could connect more deeply with a domestic version. Owners, too, reportedly warmed to the idea after recognising the “jeopardy and David-versus-Goliath dynamic” can boost engagement and investment; a supermajority of USL owners voted this year to move forward after rejecting the plan in 2023.
A key selling point is lower financial barriers. USL envisions far smaller entry costs than MLS’s massive expansion fees, allowing owners to join at League One level with a realistic path — by sporting success — to the top tier. The league says its clubs’ community-minded business models, reliant on ticketing, local sponsorship and diversified revenue, make them less susceptible to catastrophic decline after relegation. USL also plans structural safety nets and financial supports to ensure promotion is an incentive rather than an existential risk.
Regulatory hurdles remain. U.S. Soccer’s sanctioning rules currently assign leagues to Division I, II and III based on standards such as team count, market size, owner net worth, stadium capacity and geographic footprint — criteria shaped around closed leagues. Promotion-relegation will create scenarios where promoted clubs may not immediately meet those benchmarks. USSF officials are engaged in talks with USL and have been described as supportive while working through how to manage standards and transition arrangements.
The relationship with MLS is shifting from cooperation toward competition. MLS once placed reserve sides in USL before launching MLS Next Pro in 2022; under a promotion-relegation framework the two organizations will compete more directly for top-flight audiences and markets. USL executives reject a zero-sum narrative, arguing the country is big enough for multiple professional pathways. USL already fields 38 professional men’s teams in regions MLS has often overlooked and plans at least 16 more expansion clubs.
Infrastructure investment bolsters the USL case: since 2020 the league has added 10 soccer-specific stadiums, with a dozen more in development as part of about $1.5 billion in projects, improving facilities from grassroots to pro levels and making the sport more accessible to smaller markets.
Timing also favours USL. The 2026 World Cup, co-hosted by the U.S., is projected to add millions of American fans — studies suggest roughly 32 million new supporters — and soccer already enjoys particularly strong followings among younger Americans. USL hopes a merit-based system will convert that surge into sustained local loyalty.
Important practical details still need resolution: phased implementation, concrete financial protections for relegated clubs, and how sanctioning standards will apply during transitions. USL says it is studying global examples and views the opportunity to design a system largely free of legacy constraints as an advantage.
The plan blends English-style competitive meritocracy with American goals of expanding professional opportunity, community investment and long-term fan engagement. Whether promotion and relegation takes root will depend on the league’s ability to balance sporting fairness, financial stability and regulatory compliance in the decisive years leading up to 2028 and the post-World Cup period.