Leicester City face fresh PSR battle as new Premier League hearing scheduled for next week | OneFootball

Leicester City are once again heading into a legal showdown with the Premier League, with a new hearing scheduled to begin next week, The Telegraph reports.

The Championship side are preparing to contest three fresh charges, reopening the threat of a points deduction at a time when they are desperate to focus on pushing for promotion.

Leicester were charged with breaching the Premier League’s Profit and Sustainability Rules (PSR) during the 2023/24 season, which covers their final year before relegation to the Championship. 

The Premier League confirmed the charges back in May, accusing the club of not only overspending but also of failing to submit their annual accounts on time. 

The Foxes were slammed with a third charge for failing to cooperate fully during the investigation.

Leicester could face a number of potential sanctions if an independent disciplinary panel rules in favour of the Premier League.

Best-case scenario, they’re told to pay a fine or handed a transfer ban. Worst-case, they’re docked a few points, which would be gut-wrenching for a club looking to pick themselves out of a rut.

This is not the first time Leicester have been in this position. Their legal wrangles have stretched on for more than 18 months. 

Last September, they appealed against their first alleged PSR breach and won the case, when a panel ruled that the Premier League did not have the authority to punish them at that time. 

The club had already been relegated to the Championship by the end of the accounting year in question.

Sports lawyer Nick De Marco helped Leicester land the huge win at the time, and the club has enlisted his services again ahead of next week’s hearing.

Leicester’s financial losses will determine how this case turns out. 

The Foxes reported losses exceeding £200 million over a three-year period ending June 2024. That figure was far above the permitted £81m under PSR rules (even after allowable deductions).

A record £92.5m loss was posted in the year leading up to May 2022, followed by another £89.5m the following year. 

Relegation from the Premier League, the cost of sacking Brendan Rodgers, and a drop in league position have contributed to Leicester’s ongoing financial battle.