Leicester City has been handed a six-point penalty by the English Football League (EFL) for breaching financial rules. The deduction will be applied immediately, dropping the Foxes from 17th to 20th in the Championship and leaving them just outside the relegation zone on goal difference.
The decision comes after Leicester were charged by the Premier League in May for a profit and sustainability (PSR) breach between 2020-21 and 2022-23. The club has consistently argued that it is fighting for promotion back to the Premier League, but the EFL has taken on the case following their relegation to the second tier.
The commission's findings showed that Leicester's overspend of the EFL's rules during a 37-month period was Β£20.8m above the Β£83m limit, which would have resulted in a maximum 12-point penalty. However, the committee worked down based on Leicester's percentage overspend and settled on six points in light of the club's "improving financial position" over the assessment period.
Leicester City has expressed disappointment with the decision, branding it as "disproportionate". The club will now review the decision in full and consider its options. Despite this setback, fans are relieved that the uncertainty is over and can focus on survival rather than promotion to the Premier League.
The decision comes after Leicester were charged by the Premier League in May for a profit and sustainability (PSR) breach between 2020-21 and 2022-23. The club has consistently argued that it is fighting for promotion back to the Premier League, but the EFL has taken on the case following their relegation to the second tier.
The commission's findings showed that Leicester's overspend of the EFL's rules during a 37-month period was Β£20.8m above the Β£83m limit, which would have resulted in a maximum 12-point penalty. However, the committee worked down based on Leicester's percentage overspend and settled on six points in light of the club's "improving financial position" over the assessment period.
Leicester City has expressed disappointment with the decision, branding it as "disproportionate". The club will now review the decision in full and consider its options. Despite this setback, fans are relieved that the uncertainty is over and can focus on survival rather than promotion to the Premier League.