The Premier League club escaped points deduction after overturning a financial breach
Leicester City have successfully appealed a decision that could have resulted in them being stripped of 10 points after being found in breach of the Premier League’s Profit and Sustainability Rules.
Last season, Leicester were charged with breaching the PSR, which is designed to ensure clubs are working within their budget.
This team argued that their relegation to the Championship does not exempt them from penalties, since they were no longer in the Premier League when they submitted their accounts.
However, an independent commission rejected this argument and upheld the charges against Leicester.
Leicester were successful on appeal
Leicester City have appealed the decision, and an independent tribunal has ruled in their favour.
According to the BBC, the team found that the Premier League does not have the power to punish the club, as its accounting period has ended after being relegated to the EFL Championship.
This decision prevents the deduction of 10 points which may affect the future of the team in the Premier League.
Impact of PSR on Premier League clubs
The PSR rules have already had significant effects on several Premier League clubs.
Last season, Nottingham Forest and Everton faced points deductions for similar offences, highlighting the strict enforcement of these financial rules.
The rules have made clubs cautious in their dealings with transfer players this summer, forcing them to sell players and raise significant funds to write their books.
Despite the strong enforcement of the PSR at smaller clubs, there is growing discontent among fans and smaller clubs about the lack of action being taken against bigger clubs such as Manchester City. Manchester City face 115 charges of financial misconduct, yet they continue to go unpunished, leading to the belief that smaller clubs are being unfairly targeted while the giants are untouched.
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