The Premier League has confirmed it will not issue new charges against clubs for breaching financial rules during the 2023/24 season but acknowledged an ongoing dispute with Leicester City regarding a previous charge.
According to the PA news agency, no clubs have faced complaints related to breaches of the Profitability and Sustainability (PSR) rules based on accounts submitted by the December 31 deadline.
However, the league remains locked in arbitration proceedings with Leicester over a charge brought in March last year.
An appeal board ruled in September that the Premier League lacked jurisdiction over Leicester’s 2022/23 financial submission because the club was part of the English Football League (EFL) when those accounts were filed.
The league expressed disappointment at the ruling and confirmed on January 14 that the case remains unresolved.
In a statement, the Premier League said:
“Issues as to the jurisdiction of the Premier League over Leicester City Football Club in relation to PSR compliance are currently the subject of confidential arbitration proceedings.
“Accordingly, neither the league nor the club will make any further comment at this stage about any aspect of the club’s compliance or otherwise with any of the PSR or related rules, save to say that no complaint has been brought against Leicester by the league for any breach of the PSRs for the period ending season 2023/24.”
There is a possibility that Leicester could still face charges related to their 2023/24 accounts, depending on the outcome of the arbitration process.
Financial Compliance and Other Clubs
The January 14 deadline marked the last opportunity for the league to issue complaints under its “standard directions” for PSR violations.
Under this system, all processes, including appeals, must be concluded by June 1, before relegated clubs transfer their Premier League shares to promoted clubs.
Everton and Nottingham Forest faced complaints under the same system last year, resulting in points deductions of two and four, respectively. However, Everton has now resolved a separate dispute with the league regarding stadium interest payments without further penalties.
Chelsea, meanwhile, has avoided sanctions after demonstrating compliance with league rules. This includes the sale of two hotels to a company linked to its owners and the transfer of ownership of the women’s team to the club’s parent company.
Both transactions were approved by the Premier League, provided they adhered to fair market value requirements for associated-party transactions.
Changes to Financial Regulations
The 2023/24 season will mark the final application of PSR rules, which currently permit clubs to lose up to £105 million over a three-year period.
Starting next season, a new set of financial regulations will limit clubs to spending a fixed percentage of their revenue on squad-related costs.
Clubs outside UEFA competitions will initially be capped at 85% of revenue, with the threshold reducing to 70% for those competing in Europe to align with continental regulations. These changes aim to establish stricter financial discipline across all Premier League clubs.
