Leicester City escape points deduction after appealing Premier League PSR charge

Leicester City have escaped the possibility of a points deduction after they successfully appealed a Premier League charge for alleged breach of Profit and Sustainability (PSR) rules.

The charges related to an alleged breach of financial rules during the 2022-23 season after the Foxes, who were relegated to the Championship at the end of that campaign, failed to submit their audited financial accounts.

The club eventually confirmed losses of £89.7m for the 2022-23 season on top of losses of £92.5m in the previous season. Top-flight clubs are permitted to lose a maximum of £105m over a rolling three-year period.

However, an independent panel has now ruled that the league does not have the power to impose sanctions following a successful appeal from Leicester which focuses on the fact that the club was not in the Premier League when the charges were issued.

Confirming the panel’s decision, the Premier League said it was ‘surprised and disappointed’.

‘The Premier League is very disappointed with the Appeal Board’s decision, and the limited reasons provided for it,’ the statement continued. ‘The League remains of the view that the original Commission took the right approach in interpreting the rules in a practical and workable way that gives effect to their intended purpose.

‘In overturning the original Commission’s findings, the Premier League considers the Appeal Board’s decision fails to take into account the purpose of the rules, all relevant parts of the PSRs and the need for effective enforcement of alleged breaches to ensure fairness among all clubs. 

‘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. 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. The League will now consider what further action it can take to ensure this is the case.’

More to follow…