Leicester City is currently involved in an ongoing investigation by the English Football League regarding a potential breach of profitability and sustainability rules. The EFL recently revealed that its own Club Financial Reporting Unit overstepped its authority in dealing with the Foxes, who were facing a forecasted breach of loss limits for the current three-year term.
In response to the EFL’s decision, Leicester expressed satisfaction that the reporting panel ruled in their favor. However, they expressed concern that intervention was necessary to prevent the CFRU from acting outside of the established EFL regulations.
The club confirmed that discussions are ongoing with the football authorities regarding the profitability and sustainability calculations. Despite the CFRP’s decision, Leicester remains committed to achieving an appropriate resolution in this matter.
During the inquiry period, the Foxes were a Premier League club for two of the three years under review. According to financial information submitted by Leicester, the CFRU had determined earlier in the season that the club was on track to exceed the P&S loss limits for the upcoming three-year period.
In conclusion, the EFL stated that the CFRP’s ruling would contribute to potential rule amendments for Championship clubs to ensure equal treatment under the regulations. Leicester City is urged to fulfill their obligations under the P&S rules, along with all other clubs, as part of the League’s standard procedures. No further comments will be made on this matter at this time.
