Leicester City appeal after losing Premier League PSR ruling

The war of words between the Premier League and Leicester City goes on with the club appealing the latest decision concerning an alleged breach of financial regulations.

An independent commission has dismissed a challenge by City that argued the Premier League did not have the jurisdiction to charge them with an alleged breach of Profit and Sustainability Rules (PSR) for the three-year cycle ending in June 2023.

City have subsequently appealed against that verdict. They retain their position that the Premier League are acting outside of their own rules.

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The case relates to a Premier League charge against City from March, when they were judged by the governing body to have breached the PSR overspend limit of £105m for the three-year cycle concluding with the 22-23 campaign, when they were relegated.

With that charge, City were referred to an independent disciplinary panel where their case would be judged and where their punishment would be decided. If deemed in breach, a points deduction would be likely, as has happened at Everton and Nottingham Forest.

In their initial response, City said they were “surprised” and “extremely disappointed” by the timing of the Premier League’s decision. They said the club would “continue to defend itself from any unlawful acts by the football authorities”.

That materialised in the form of a complaint, with City putting forward the case that, as an EFL club at the time of the charge, they were not subject to Premier League rules. An independent commission has now dismissed City’s argument, ruling in favour of the Premier League.

A statement on Thursday read: “An independent commission has dismissed a challenge by Leicester City FC that it has no jurisdiction to consider an alleged breach of Profitability and Sustainability Rules (PSRs).

“In March, the Premier League referred the club to the independent commission for the alleged breach. Leicester City subsequently challenged the commission’s authority to hear the case. The alleged breach relates to the PSRs for season 2022-23, when the club was a member of the Premier League.”

City issued an immediate response, appealing the decision. Their statement read: “LCFC notes the publication today of the decision of the Premier League Commission. The club is disappointed with the decision, which does not appear to reflect the wording of the Premier League’s Rules, and has lodged an appeal.”

These latest statements do not refer to the 23-24 finances, where City were also at risk. It's believed that the sale of Kiernan Dewsbury-Hall to Chelsea for £30m likely sees the club avoid a charge from the EFL, and so dodging potential further sanctions.