How Leicester City points deduction could impact Nottingham Forest
Leicester reportedly could be set for a points deduction next season amid finger-pointing about spending breaches last season and in the current campaign.
Leicester City are reportedly at risk of being docked points should they secure promotion back to the Premier League as Nottingham Forest await the verdict of their own Financial Fair Play case.
Forest were charged with breaching cash-loss limits in January and will find out next month if they are due to be deducted points. Everton face the same allegations having had their initial November 10-point penalty – for breaking rules last term – reduced to six.
A report from The Sun now claims that several Premier League and Championship clubs believe Leicester breached the £105m deficit threshold at the end of last season. They also moot the Foxes will exceed the £83m limit for the current three-year cycle
There is ambiguity over whether it would be the Premier League or EFL that hands out sanctions should Leicester get promoted and later be found to have broken regulations.
Relegation meant the club did not have to reveal their numbers to the Premier League this time around. League officials implemented a new alteration to finance rules this season that now means its clubs are required to hand in their accounts by December 31.
This came in line with a new fast-tracking process, whereby ‘simple’ Profit & Sustainability breaches made during the last campaign can be handed out in the current proceeding season, hence the January charges brought before Forest and Everton.
Should either club appeal the outcome of the forthcoming hearings, the process could last until beyond the end of the season. With both currently battling relegation, the sanctions could prove pivotal in their quests for survival.
If Leicester do get promoted, they too will have to provide their accounting sheets by December 31, 2024. They could be handed a points deduction if they have broken the current £83m threshold over the current three-year period but they are unlikely to have their promotion bid affected, so says The Sun.
A points deduction could come into force before the start of the season, although this possibility remains ambiguous. Leicester have not been charged with any financial breaches at the time of writing.
But if a points deduction is sanctioned and Forest survive, they gain an advantage over their Midlands rivals at the beginning of the campaign. Furthermore, cash fines would also hamper the Foxes in the transfer market.
However, any delay in sanctions would leave Forest affected most should they be deducted points this season, especially if Leicester are indeed found to have exceeded cash-loss limits.
If Forest do go down and Leicester are later judged to have breached regulations within the same time period, then questions of long-term integrity and will be raised and the relationship between the Premier League and EFL will be put under the spotlight.
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