Exclusive: Leicester City could land devastating 12-point deduction – new update
Leicester City could be facing a 12-point deduction following their alleged profit and sustainability (PSR) breach, sources have told Football Insider.
Leicester were initially charged with a spending breach in March 2024 after reporting losses of £90million for 2022-23, with top-flight sides only permitted to lose £105m over a rolling three-year period.
It has since been confirmed the Foxes will not face any punishment for their 2022-23 breach after exploiting a loophole in the rules.
However, Leicester were charged in May with an alleged breach of the EFL’s financial rules for 2023-24 – the year they secured promotion back to the Premier League.
The Telegraph reported on Tuesday (18 November) Leicester’s case is set to be heard next week, where they will contest three charges.
What is the most likely points deduction for Leicester?
Leicester’s potential punishment currently remains unclear if they are found to have breached the spending rules.
Everton previously received two and six-point penalties following two separate breaches, while Nottingham Forest were deducted four points.
The key element is around whether any potential punishment is handed out in regard to the Premier League or EFL rules.
The Premier League rules would likely carry a six-point deduction, but a sanction under the EFL regulations could be worth up to 12 points.
Sources have told Football Insider a six-point penalty appears to be the most likely scenario if Leicester are found guilty given the case was referred to an independent commission by the Premier League.
Leicester could face new points deduction blow
Leicester have faced PSR issues since initially being relegated from the Premier League in the 2022-23 season.
The Foxes’ latest published accounts for 2023-24 revealed their turnover slipped from £177m in 2022-23 to £105m after dropping out of the top flight.
Although their losses dropped from £90m to £19m in 2023-24, it wasn’t enough to prevent them being charged with a PSR breach.
Leicester’s spending limit for the three-year cycle up to that year was £83m as the cap drops from £35m a season in the Premier League to £13m in the Championship.
Former manager Enzo Maresca led the East Midlands side back to the Premier League at the first attempt, but a dismal campaign under Steve Cooper and Ruud van Nistelrooy saw them relegated to the second tier again last season.
Football Insider revealed in May that Leicester will have been close to a PSR breach for 2024-25 due to their historic issues.
The Foxes currently sit 12th in the Championship table under Marti Cifuentes, but a points deduction could soon be on the cards depending on the result of their upcoming hearing.
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