Leicester City have been handed a six-point deduction by the English Football League after breaching profit and sustainability rules, a setback that deepens their struggles in the Championship.
The punishment takes immediate effect, dropping the Foxes from 17th to 20th in the table. They now sit just outside the relegation zone on goal difference, adding further pressure to a turbulent campaign.
The sanction follows charges brought by the Premier League in May over financial breaches covering the three years up to the 2023-2024 season.
However, after Leicester’s relegation from the top flight last season, the case was taken over by the EFL and judged under its own financial regulations.
Leicester expressed frustration at the ruling, describing the decision as excessive.
“While the commission’s findings significantly reduced the unprecedented scale of the sanction originally sought by the Premier League, the recommendation remains disproportionate and does not adequately reflect the mitigating factors presented, the importance of which cannot be overstated given the potential impact on our sporting ambitions this season,” the club said.
“We are now reviewing the decision in full and considering the options available to us.
“We remain committed to engaging constructively and ensuring that any action is fair, proportionate and determined through the appropriate processes.”
Under PSR rules, Premier League clubs are limited to losses of £105m over three years, with adjustments made for seasons spent outside the top division. Leicester recorded a £19.4m loss for the year ending June 2024, following losses of £89.7m in 2022–23 and £92.5m in the previous year.
The commission determined Leicester exceeded the EFL’s £83m limit by £20.8m over 36 months. While a 12-point deduction was possible, the panel opted for six points, citing the club’s improving financial outlook.
Leicester are currently without a permanent manager following the sacking of Marti Cifuentes in January. Interim boss Andy King leads the side into Saturday’s clash with Birmingham City, as the Foxes look to end their four-match winless run and steady their season.
