Leicester City escape points deduction over spending rules allegations
Leicester City have been successful in their appeal against a potential points deduction over an alleged breach of Premier League Profit and Sustainability (PSR) rules.
The Premier League admitted it was “surprised and disappointed” after an independent panel found it couldn’t punish the club.
The Premier League first referred the Club to an independent Commission in March for an alleged PSR breach relating to the assessment period ending 30 June 2023. The Commission dismissed the Club’s initial challenge to its jurisdiction to hear the case, but the Club’s challenge has now been upheld by an independent Appeal Board, which reversed the Commission’s finding.
In a statement, the Foxes said: “Leicester City welcomes the Appeal Board’s comprehensive decision, which supports our consistently stated position that any action against the Club should be pursued in accordance with the applicable rules.
“To avoid any misunderstandings which may arise in light of the statement which has been issued by the Premier League in response to the appeal decision, Leicester City wishes to emphasise the finding of the Appeal Panel that, when considering the wording which is actually used in the Premier League rules (in accordance with established principles of English law) the Club did not breach the Premier League PSRs for the assessment period ending 30 June 2023.
“In its decision, the Appeal Board (which was made of up a panel of three experienced, senior lawyers, two of whom are former Court of Appeal judges) identifies flaws in the drafting of the Premier League’s rules. In challenging the Premier League’s attempts to charge Leicester City, the Club has simply sought to ensure (in the interests of providing consistency and certainty for all clubs) that the rules are applied based on how they are actually written.”
Under the PSR rules, a club cannot make losses of more than £105m over a three-season period.
The Premier League had charged the Club for the three-year period to the end of the 2022-23 season. However, Leicester City were relegated to the Championship at the end of that season and only filed its accounts once its membership of the Premier League expired.
The decision is set to rile fans of Nottingham Forest and Everton. Both clubs received points deductions last season after being found guilty of breaking PSR rules.
