The Premier League is expected to file complaints on Tuesday against clubs found breaching its Profitability and Sustainability Regulations (PSR), with potential penalties, including points deductions. Reports suggest Leicester City may be among those charged, though neither the club nor the league has officially commented on the matter.
Sources close to Chelsea’s ownership have expressed confidence in the club’s compliance with PSR rules despite significant spending since the 2022 takeover by a consortium led by Todd Boehly and Behdad Eghbali. Similarly, Everton and Nottingham Forest assert that they are adhering to the regulations.
Both Everton and Nottingham Forest were charged in January 2023 for surpassing the allowable £105 million loss over three seasons, a figure adjusted for years spent outside the Premier League. These breaches, based on their 2022-23 financial reports, led to points deductions—two for Everton and four for Forest.
In November 2023, Everton faced a more severe 10-point deduction for exceeding PSR limits for the 2021-22 period. However, following an appeal in February 2024, this penalty was reduced to six points. Clubs with combined losses for the 2021-22 and 2022-23 seasons were required to submit their financial reports for the 2023-24 season by December 31, 2024. The Premier League had two weeks to file complaints after receiving these accounts.
Manchester United, which announced a £113.2 million loss for the fiscal year ending June 30, 2024, has expressed confidence in its compliance. The club highlighted permissible deductions for investments in infrastructure, academies, charitable initiatives, and women’s football, all of which fall outside the £105 million loss limit.
Speculation also surrounds Leicester City, which was charged in March 2024 for breaching PSR in relation to their 2022-23 accounts. However, a ruling in September concluded that an independent Premier League commission had no jurisdiction over Leicester following their relegation to the EFL at the end of that accounting period. The Premier League had claimed Leicester incurred a £129.4 million loss over the three seasons leading up to 2022-23.
Chelsea, on the other hand, has maintained compliance, citing league-approved transactions such as the sale of two hotels to an affiliate of its ownership group and the women’s team’s sale to its parent company. These deals, while under scrutiny, meet regulations permitting profits from asset sales to count toward revenue if valued fairly.
Attempts to close loopholes enabling such practices failed at the 2023 Premier League annual general meeting, where only 11 clubs supported changes—fewer than the 14 votes required. In August, Premier League CEO Richard Masters endorsed clubs finding competitive advantages within the rules, as long as they remain compliant.