Leicester City has been hit with a transfer embargo and has retaliated by taking legal action against both the Premier League and EFL for an alleged breach of profit and sustainability rules. The club has been accused of breaking spending regulations over the past three seasons and failing to provide audited finances, leading to a potential points deduction if found guilty by an independent commission.
Following their relegation to the Championship last season, the EFL has also launched a financial investigation into Leicester. In response, the club expressed their surprise and disappointment at the Premier League’s timing and vowed to defend themselves against any unlawful actions taken by the governing bodies.
In a second statement, Leicester announced urgent legal proceedings against both the Premier League and EFL, seeking independent legal panels to properly determine any charges against them. Despite being under a transfer embargo, the club insists that the restrictions imposed by the EFL are both premature and restrictive, as a significant portion of the reporting period for the 2023/24 season is yet to be completed.
Currently sitting second in the Championship table, Leicester trails behind Leeds United based on goal difference but has a game in hand. With just eight league games remaining, the Foxes are closely followed by Ipswich in third place.
