By Daily Sports Nigeria on May 20, 2025

Leicester City could face a future points deduction after being charged with an alleged breach of the EFL's financial rules.

The Foxes have been referred to an independent commission after being charged by the Premier League for an alleged profit and sustainability (PSR) breach for the year 2023-24, when they were in the Championship.

The new charge follows a lengthy arbitration process over who holds jurisdiction over Leicester, with the club bouncing between the Championship and Premier League in recent seasons.

A tribunal has now ruled the Premier League has the power to charge Leicester, who have been relegated from the top flight and will play in the Championship next season.

The timeline of the case should still come under the Premier League's 12-week fast-track process, meaning any possible points deduction, depending on the outcome of the case, could come in Leicester's season in the Championship in 2025-26.

But football finance expert Kieran Maguire told BBC Sport he believes it is unlikely a punishment would be imposed on Leicester while they are in the second tier because the Premier League and EFL are separate entities.

The independent commission will also assess two further alleged breaches by the Foxes; that they failed to provide accounts to the Premier League by 31 December, 2024, and that they did not "provide full, complete and prompt assistance to the Premier League in response to the league's inquiries".

Premier League clubs cannot lose more than £105m over three years but the figure is reduced by £22m for every season a club spends outside the top flight.

Leicester's latest accounts showed a loss of £19.4m for the period ending 30 June, 2024.

In their 2022-23 accounts Leicester confirmed an £89.7m loss while in the 12 months up to May 2022 they lost a club record £92.5m.

Those figures do not take into account 'add backs' - costs such as building infrastructure and investing in women's football that the Premier League and EFL view as in general interests of clubs.

Leicester, who this season have been relegated to the Championship for the second time in three years, said: "The club intends to engage co-operatively in this matter now that the Premier League's jurisdiction has been established for the period ending FY24 [financial year 2024)."

In April last year, Everton were docked two points after an independent commission found the club had breached PSR by £16.6m for the three-year period to 2022-23 having already been hit with a 10-point penalty - reduced to six on appeal - a few months before for a 2021-22 breach.

Nottingham Forest were also given a four-point deduction in March 2024 for a breach.

Source BBC Sports

Posted May 20, 2025

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