Exclusive: Leicester City face devastating points deduction blow
Leicester City are likely to have breached the profit and sustainability (PSR) rules for 2023-24 following their long-standing financial concerns, sources have told Football Insider.
Leicester were charged in March 2024 with a breach of the PSR rules for 2022-23 after reporting losses of £89.7million for that year alone, with top-flight sides only permitted to lose £105million over a rolling three-year period.
The club later successfully appealed against the Premier League’s right to charge them after there was confusion over which division they were registered in when they submitted their accounts following their relegation to the Championship.
Leicester had previously blocked an attempt from the EFL to sign them up to an agreed business plan in November 2023 after concerns were raised about another potential PSR breach for 2023-24.
But speaking on talkSPORT on 2 December, finance expert Kieran Maguire revealed King Power Stadium chiefs are “very confident” of avoiding a spending breach following their transfer dealings last season.
The club brought in around £90million across the latest accounting period following the sales of Harvey Barnes, Timothy Castagne and Kiernan Dewsbury-Hall as well as the compensation fee for Enzo Maresca’s move to Chelsea.
But sources have told Football Insider Leicester remain the club most at risk of breaching the spending rules for 2023-24 and are likely to have exceeded the allowable losses limit by some distance.
Leicester City could face points deduction after PSR update
If Leicester were to be charged with a PSR breach, they would likely land a points deduction after Everton and Nottingham Forest were both docked points last season.
That would mark a significant blow to Ruud van Nistelrooy’s hopes of keeping the club in the Premier League after he replaced Steve Cooper at the King Power in November.
The Dutch boss picked up a victory over West Ham in his first game in charge, but he has since failed to win any of the following five matches, leaving his side sitting second-bottom in the table.
Van Nistelrooy is understood to be keen on strengthening his defensive options in the January transfer window after Leicester have conceded 42 goals in their opening 19 Premier League fixtures.
Football Insider revealed on 2 January they are in a race with Tottenham and Bayer Leverkusen to sign Udinese centre-back Thomas Kristensen.
In other news, Van Nistelrooy could sign Man United star at Leicester.
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