The Premier League is set to file complaints on Tuesday against clubs found to have violated its Profitability and Sustainability Regulations (PSR), which could result in potential points deductions. Leicester City is reportedly among those under scrutiny, although neither the club nor the league has confirmed this.
Chelsea, despite its significant spending since being acquired by Todd Boehly and Behdad Eghbali in 2022, maintains confidence in its adherence to the PSR rules. Everton and Nottingham Forest also assert that they have complied with the regulations, despite both clubs being charged last January for exceeding the allowable £105 million loss over three seasons, a threshold adjusted for non-Premier League seasons. The charges related to their 2022-23 financial reports were handled through the league’s standard procedures, leading to points deductions—two for Everton and four for Forest.
Everton also faced a 10-point deduction in November 2023 for breaching the PSR limits for the 2021-22 period, although this was reduced to six points after an appeal in February 2024. Clubs with cumulative losses for both the 2021-22 and 2022-23 seasons were required to submit their 2023-24 financial accounts by December 31, 2024, with complaints expected to be filed by the Premier League within two weeks.
Manchester United, which reported a £113.2 million loss for the fiscal year ending June 30, 2024, remains confident it has complied with the regulations. The club argues that allowable deductions, such as investments in infrastructure, youth academies, charitable initiatives, and women’s football, fall outside the £105 million cap.
Speculation is mounting that Leicester City may face consequences after being charged in March for a PSR breach related to their 2022-23 accounts. However, a September ruling determined that Leicester, having been relegated to the EFL at the end of that period, fell outside the Premier League’s jurisdiction. The Premier League had argued Leicester incurred a £129.4 million loss over the three seasons ending in 2022-23.
Chelsea has also reiterated its compliance with the rules, pointing to league-approved transactions, such as the sale of two hotels to a company linked to its ownership group and the sale of the women’s team to the club’s parent company. These deals, while under scrutiny, align with regulations that allow profits from the sale of fixed assets to be counted in revenue calculations if they reflect fair market value.
At the Premier League’s 2023 annual general meeting, efforts to close loopholes around such transactions failed, as only 11 clubs supported the proposed changes—three short of the required 14.
Premier League CEO Richard Masters expressed approval in August for clubs finding competitive advantages within the rules, as long as they remain compliant.
