Former Everton chief Keith Wyness has raised concerns about Leicester City’s financial predicament, suggesting that failure to secure promotion could trigger a significant player exodus before the end of June.
Wyness, who served as CEO at Goodison Park from 2004 to 2009 and now advises elite clubs through a football consultancy, expressed apprehension about Leicester’s prospects in the Championship. He highlighted the potential consequences of another season outside the Premier League, emphasizing the financial challenges facing the Foxes.
Leicester’s precarious financial situation stems from reported losses of nearly £90 million for the 2022-23 season, contributing to total losses exceeding £215 million over the past three Premier League campaigns. With the club facing charges from the Premier League for breaching spending regulations, a failure to secure promotion could exacerbate their financial woes.
Wyness emphasized the significance of the June 30th accounts cut-off, suggesting that Leicester may be compelled to undertake drastic measures if promotion eludes them. He cautioned that up to four players could be sold “very quickly” to alleviate financial pressures, potentially leading to a fire sale of top-quality talent.
He told Football Insider‘s Insider Track podcast: “They’d have to take some serious action.
“With the parachute payments, after the first year – if you don’t go up – it’s a big roll of the dice. For a third year, it’s even bigger.
“The payments stop, and that will be the biggest issue for Leicester.
“If they don’t go up, they’ll have the playoffs to go through. I’ve been through that agony if you miss out, I know what that’s like.
“If they don’t get the job done automatically or through the playoffs, then three or four top players could be sold very quickly – before the accounts cut-off on 30 June.
“It could become a fire sale. The demand won’t be high, but there are quality players.”
The prospect of missing out on promotion adds further uncertainty, as the cessation of parachute payments after the first year in the Championship intensifies financial risks for clubs like Leicester. Wyness underscored the gravity of the situation, drawing on his own experiences of playoff heartache and the challenges of navigating financial constraints in football management.
Should Leicester fail to secure automatic promotion or navigate the playoffs successfully, Wyness warned of the imminent need for decisive action to mitigate financial losses. While acknowledging the quality of Leicester’s players, he cautioned that market demand may not align with the club’s valuation, complicating potential sales.
Wyness’s remarks underscore the precarious financial position facing Leicester City and the imperative of achieving promotion to safeguard the club’s future stability and competitiveness.