Could Man City Get Relegated After Breaching Financial Rules?

Manchester City Etihad Stadium Sign at Night
Credit: Dibbson / Shutterstock

After a legal process that has been going on for years, it was reported on Friday that Manchester City have been found guilty of more than 100 breaches of the Premier League’s financial rules. City were charged with 115 breaches back in February 2023, and reports suggest they have been found guilty of the vast majority of them.

Crucially, no sanctions or even proposed sanctions against the club have been made public at the time of writing. And Manchester City are apparently in the process of appealing against the decision. But if the guilty verdicts are upheld, there is a very real possibility that Man City will be docked points or even thrown out of the Premier League altogether. But in a sport in which money rules, is that truly a realistic prospect? Fans of every other club in the land certainly hope so. Before we delve into the possible punishments, however, let’s take a look at what Man City are accused of having done wrong.

What Were the Charges?

We’re not going to get into the legal minutiae, not least because, despite the reported verdict, it appears the wrangling could go on for a while yet. But here are the charges that were reportedly brought against Manchester City, more than three and a half years ago!

  • 54 counts of a failure to provide accurate financial information, from 2009/10 to 2017/18
  • 14 counts of a failure to provide accurate details for player and manager payments from 2009/10 to 2017/18
  • 5 counts of a failure to comply with UEFA’s rules, including Financial Fair Play (FFP), from 2013/14 to 2017/18
  • 7 counts of breaching the Premier League’s Profitability and Sustainability Rules (PSR) from 2015/16 to 2017/18
  • 35 counts of a failure to co-operate with Premier League investigations from December 2018 to Feb 2023

As you can see, they go way back to the 2009/10 season and to the 2022/23 season, during which time Man City won a hell of a lot of silverware. In fact, they landed the Premier League title seven times in that time, plus three FA Cups, six League Cups, and a Champions League. Other clubs that missed out on cups and league titles during that timeframe are understandably demanding both answers from the authorities and tough sanctions to be imposed against City.

After news of the verdict broke, a spokesperson for Manchester City said:

“The Premier League process remains ongoing, with significant elements to be completed, and subject to strict confidentiality. As such, Manchester City FC’s position remains consistent with the club’s statement of February 2023.”

They went on:

“The club has diligently respected due process for eight years on the basis that the Premier League board and executive would behave as an independent, impartial and fair-minded regulator, free from partisan influence.”

The Premier League has apparently not seen fit to release a statement, perhaps awaiting the result of Man City’s appeal. But if that appeal fails, what kind of punishment will City face?

What Could Happen Next… and What Will Happen Next?

Wooden Gavel on Glass Desk

The judicial panel that has undertaken the investigation has various powers to issue punishments to a club under Premier League rules. These could include a hefty fine, suspension from the Premier League, a points deduction, or even expulsion from the Premier League.

Clearly, the easiest punishment to hand out would be a fine, and City would no doubt happily go along with that. Given that clubs have been docked points in the recent past for breaking Premier League financial rules, the precedent is there for City to lose points too. After breaching financial rules, Everton were deducted 10 points in November 2023, but it was reduced to six points on appeal. They were docked a further two points in 2024 for a further breach. And given City’s reported breaches far exceeded Everton’s, any points deduction would presumably be far heftier than that dished out to the Toffees.

While a points deduction could be relatively easily applied mid-season, it seems highly unlikely that a club would be suspended or expelled now that the current season has got underway (partly because the TV companies would probably not be too happy about it). But maybe a points deduction could be on the cards that would make relegation at the end of the current season all but inevitable. Arguably, the Man City hierarchy would probably prefer that to a straight expulsion, as that scenario might result in them having to apply to join the Football League at some point below the second tier, and hence they could be out of the Premier League for more than one season, which would spell real financial trouble irrespective of how much cash the owners possess.

Overall, assuming the appeal is unsuccessful, we anticipate a swift, decisive points deduction that allows City to play out the rest of their fixtures but effectively means they’ll be fighting to survive in the top flight rather than challenging to win the title. And every neutral in the land would be willing to see them slip into the second tier.

By Editor