The Premier League has now charged Leicester City over an alleged breach of the league’s Profitability and Sustainability Rules (PSR).
Leicester City, who are second in the Championship on goal difference, but with a game in hand on leaders Leeds – could face a points deduction, if found to have broken the financial regulations. Although the points deduction would take effect next season.
A Premier League statement read: “The Premier League has today (March 21) referred Leicester City FC to an independent Commission for an alleged breach of Profitability and Sustainability Rules (PSRs) and for failing to submit their audited financial accounts to the League.
“The alleged breach relates to the assessment period ending season 2022/23, when the club was a member of the Premier League.
“Leicester City were relegated to the EFL Championship prior to the introduction of the Premier League’s new Standard Directions, which prescribe a timeline within which PSR cases should be heard.
“Therefore, the proceedings will be conducted in accordance with a timetable to be set by the independent Commission, and its final decision will be published on the Premier League’s website.”
According to Sky Sports, Leicester’s accounts covering last season – which will be made public later this month – are expected to show they exceeded the £105m losses permitted over the previous three seasons.
Similar breaches by Everton and Nottingham Forest have been met with Premier League charges, with Forest now hit with a four-point deduction and another possible points deduction for Everton to follow.
Everyone is also talking about Chelsea who are in a similar situation, as the Premier League could hit Chelsea with charges if the books don’t balance come end of season.
Finance football expert Stefan Borson has told Chelsea what to do come out of this situation.
According to Borson, Chelsea must sell the trio of Conor Gallagher, Trevoh Chalobah and Armando Broja.
When asked how Chelsea can financially cope without European football, Borson replied: “Really, they have to find buyers for Trevoh Chalobah for £20m, Armando Broja for £40m, and Conor Gallagher for £50m.
“It’s those sort of deals that need to be done. And by the way, they all need to be done by June 30. That, as we know, is articulated within the Forest decision.
“There’s a whole conversation about how hard it is to sell players in the period before June. The Premier League actually suggested that more or less that it was impossible.”