Leicester City appeal succeeds over alleged breach of Premier League financial rules

Leicester City have won a legal dispute over a decision by the Premier League that could have led to a points deduction over an alleged breach of profita­bility and sustainability rules (PSR).

After Leicester’s appeal, an independent panel found there was no jurisdiction for the case to be conducted and said parts of PSR are “far from well drafted”.

“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,” the Foxes said in a statement.

BREAKING: Leicester win appeal against PSR breach 🚨 pic.twitter.com/bdhdoZo5co

— Sky Sports News (@SkySportsNews) September 3, 2024

Leicester appeal: Premier League responds

The ruling hinged on ­Leicester being in the Championship in March at the time of the charge, which related to a three-year period of club accounts ending after their relegation to the second tier.

Everton and ­Nottingham Forest were both given points deductions last season over PSR, and the league is considering an appeal.

“If the appeal board is correct, its decision will have created a situation where any club exceeding the PSR threshold could avoid accountability in these specific circumstances,” it said.

“This is clearly not the intention of the rules. It is of critical importance that the Premier League is able to enforce its rules consistently to maintain the principle of fairness.”

Premier League PSR

Clubs are permitted to lose a maximum of £105 million across a three-season period under the rules.

Leicester expect their three-year accounting period ending in June 2024 to avoid a breach, helped by £40m in payments from Chelsea for midfielder Kiernan Dewsbury-Hall and manager Enzo Maresca.

The Italian led Leicester to promotion at the first time of asking in 2023-24, winning the Championship after spending all but 10 matchdays at the top of the table.

Steve Cooper succeeded Maresca following the departure to Stamford Bridge of the former assistant to Pep Guardiola at Manchester City.

The 2015-16 Premier League champions have one point from three matches and are next in action when they visit the team immediately below them, Crystal Palace, on September 14 (15:00 BST).