Leicester City to fall foul of PSR?

[AjaxAndy]

From the Guardian:

Leicester face a nervous wait to discover whether they will be charged by the Premier League with breaching profitability and sustainability rules (PSR) for a second successive season. The club are one of several in the top flight who had to submit their financial accounts for the 2023-24 season by 5pm on New Year’s Eve, because they have recorded losses over the past two years, and will be told by 13 January whether they have breached PSR.

Leicester escaped a Premier League points deduction earlier this season after they were charged with a £24.4m breach for the 2022-23 season. The club’s legal team successfully persuaded an independent commission that, having been relegated at the end of that season, Leicester were not in the Premier League when they submitted their accounts for that period on 30 June 2023.

Premier League fans’ half-term reports, part two: Leicester to Wolves
The club recorded pre-tax losses of £92.5m and £90m for the 2022 and 2023 financial years respectively, however, so are at risk of being charged with another breach. Given the points deductions handed out to Everton and Nottingham Forest last season, any charge could be a severe blow to Leicester’s survival hopes, with Ruud van Nistelrooy’s side second-bottom at the halfway point.

Premier League rules restrict clubs to losses of £105m over a three-year period if all those years were spent in the top flight. Because Leicester were in the Championship last season their permitted losses for the current three-year cycle will be reduced by £22m, owing to the English Football League’s stricter spending limits. The club’s losses will have been reduced by last season’s player sales, with Harvey Barnes’s £38m move to Newcastle and Timothy Castagne’s £15m transfer to Fulham to be included in their latest accounts, along with the £10m compensation received from Enzo Maresca’s move to Chelsea. The £30m sale of Kiernan Dewsbury-Hall to Chelsea will not be included because that did not go through until July 2024.

Leicester have expressed confidence they will avoid another charge, but Premier League sources feel the club may have a case to answer.

As previously reported by the Guardian Leicester could face charges from the EFL for overspending during the 2020-23 period at the end of this season if they are relegated.

Under regulations introduced 18 months ago, designed to ensure that any PSR breaches are dealt with swiftly, all Premier League clubs that have posted aggregate losses over the previous two accounting periods must hand in their accounts for the previous season by 31 December. Premier League lawyers and accountants will spend the next fortnight assessing the numbers to determine whether there have been any PSR breaches, with any decision to charge published by 13 January.

Given Leicester were found to be in breach by £24.4m for the 2022-23 season they are the club most vulnerable to charges. Chelsea, Everton and Forest sold players last summer so are confident of complying with PSR.

[Shogun]

Not really news from what I read there. Just saying they're at the submission date, doesn't really say if they're likely to be punished or not whilst obviously Leicester will know if they're over or not already rather than waiting to be told like the article says.

Just a wait and see job unless Leicester leak something one way or the other.

[Cereal Killer]

Hope they get charged after being cocky fuckers about it not being applicable to them when they were in the Championship

[Cods]

Not about Leicester specifically, but feel some sympathy for any club winning promotion, they've basically been gutted due to having to risk big bucks just to compete.

Some don't even try to spend knowing they're likely going straight back down. It's anticompetitive and shouldn't be happening.

[Cereal Killer]

Leicester charged in relation to PSR for something for some point in time which may result in some kind of point deduction in some season

[CannockPricey]

Leicester charged in relation to PSR for something for some point in time which may result in some kind of point deduction in some season

To be fair, that is as accurate a summary as I have seen.

The motivation behind PSR is all wrong and the implementation of it is just completely laughable.

[Robioto]

Yet the United Arab Emirates continue on like nothing has happened, with their manager incessantly whinging at how hard done by he is despite spending 50% of the entire Premier League spend in January.

[Gash]

6 point deduction for breaking EFL rules. In real relegation trouble now.

https://www.skysports.com/share/13163353

[Irishbornevertonian]

6 point deduction foe breaking EFL rules. In real relegation trouble now.

https://www.skysports.com/share/13163353

Them and WBA in huge trouble. Both have a job on their hands to survive relegation


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[weimaranerblues]

Should have got more that's all I'll say.....

[777Kidnappings]

They say its disproportionate. Weren't they looking to sue us after we were originally docked 10 points (while knowing they were in breach too)

They won't go dosk because they are better than the other teams at the bottom. Feels like they've been incredibly lucky though. Breached and got promotion, had their season in the premier league unaffected and now got a punishment which almost certainly won't affect their season in terms of promotion or relegation

[Shogun]

It's all a load of nonsense

[Audrey Horne]

Dock city points then you fucking cowards.

[Gash]

Dock city points then you fucking cowards.

This is the EFL not the PL.

Think it would be quite funny if the happy clappers went down, but they 'should' have enough to stay up.

[Irishbornevertonian]

Dock city points then you fucking cowards.

They won’t. Corrupt as fuck


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