Real Madrid and Bayern Munich face a struggle to compete with Premier League giants because of the financial muscle of top English clubs, Bayern chief executive Karl-Heinz Rummenigge conceded.

The Bayern chief executive says domestic television deals have created a major distortion in wealth between many teams in mainland Europe and those in England.

Speaking at the SPOBIS 2020 business event, Rummenigge also said there was "no need for change" when it comes to the Champions League after recent talk of expansion.

He spoke from experience when he pointed to how Premier League clubs have been able to attract the best players, the best coaches and create the most profitable academies.

And Rummenigge also stated how even 13-time European champion Real Madrid, whose president Florentino Perez he knows well, finds it worrying to look at the money flooding into English teams.

"I think Florentino Perez's problem is the Premier League," Rummenigge said. "With Real Madrid he belongs to the world's most prominent club, because it's the most successful one and you have to admit it is also incredibly strong in terms of star power.

"However, his problem is the Premier League because it receives three times more money from domestic TV stations than all of us. No matter if it's Spain, Germany, France etc.

"That's why they have an undeniable advantage in the transfer market."

Rummenigge is full of admiration for how English teams have spent their money, by strengthening not only their squads but infrastructure too.

"The English clubs did well, one has to admit. In step one, they bought good players; in step two, they went out for good coaches, for instance Jurgen Klopp who has tremendous success at Liverpool; and in step three they gathered quality in management.

"They used their bigger income in comparison to other leagues to develop their quality. Their youth work has become a benchmark.

"And no matter in which country, or which city we play in, we all try to keep up with the English clubs, which is not easy."

Bayern is second in the Bundesliga after 19 games of this season, a point behind leader RB Leipzig, and is chasing an eighth consecutive title.

The Bavarian giant last won the Champions League in the 2012-2013 season, with Real Madrid triumphing four times since then, Barcelona winning in 2015 and Liverpool scooping last season's trophy.

The format of the Champions League is ripe for debate, with reports indicating the European Club Association is urging UEFA to include more rounds of fixtures in a push for expansion.

Rummenigge, though, as a major power broker with one of Europe's most powerful clubs, stressed there is no good reason for an overhaul.

"There is no need for change," he said. "So far no one has come to me and said, 'We need to make drastic changes'. This radicalism that is being discussed at the moment is going too far.

"We need to respect the clubs and see if they are satisfied or if they are in need of change. How do the fans see it, how do the viewers on TV or even the TV stations?

"That's why I don't see a necessity. My press officer Stefan Mennerich has a nice saying - 'Don't fix, what ain't broken'. And the Champions League is everything but broken."