If you haven’t checked the news in the last few days, you may not be aware that Championship club and former EPL champions Leicester City are embroiled in a fierce battle with the English Football League due to a potential breach of rules. This is the third recent incident of this happening, with Notts Forest and Everton both experiencing similar issues.
In this article, we want to look at what’s happening, the claims being made against the Foxes, and the potential fallout this could have for their pursuit of a return to top-flight football.
Indeed, if you are a sports betting fan or Leicester City fan and use a platform like kwiff sportsbook to place futures bets on their promotion, this article will be invaluable. This will give you more insight for your wagers and allow you to potentially alter bets relating to Leicester, if needed. It also gives you an idea of Leicester’s current form and potential betting options at sportsbooks for upcoming Championship games.
What is happening and what is the potential fallout?
So, what is going on and why is Leicester City the talk of the town when it comes to English professional football? Simply put, it boils down to financial management and EFL rules, and as mentioned, it seems that this is becoming a more frequent occurrence, with Everton and Forest also having similar cases.
The EFL is charging the Foxes with breaching Profit and Sustainability Rules
Leicester City has been formally charged with breaching the league’s Profit and Sustainability Rules (PSR). Not only that, but the club has been charged on the grounds of failing to submit their financial accounts, which is a requirement all teams must comply with.
Since their legendary EPL run and triumph in the 2015-16 season, the club has unfortunately been in decline and as a result has suffered a series of league and financial losses. Before their relegation back to the Championship, Leicester suffered a huge financial loss of £92.50 million, followed by losses of £31.2 million and £67.3 million in subsequent seasons.
These sustained losses and continued financial mismanagement are the reasons behind the league charging them with a breach of rules. It has been reported that EFL has requested a business plan from Leicester to show how they aim to comply with the rules and the loss cap going forward.
The fallout is points deduction and player embargos
One outcome of this issue is already in force – the EFL has put a player registration embargo on Leicester City. What does this mean? It means they can’t sign new players or renew expiring contracts. Obviously, this has huge implications for the club and their ability to maintain their current squad, or even consider making new signings during the summer offseason.
The other punishment is yet to be announced, but the most likely outcome is a points deduction for the 2024-25 season. Everton received a six-point deduction for their offences, and because of the gravity of the financial losses, it’s anticipated that Leicester may receive a similar or more severe deduction.
As a result of these charges, Leicester has commenced with “urgent legal proceedings” and counter-sued the EFL and EPL. Their case – in which they are essentially claiming that the leagues are not acting fairly and objectively – has been referred to an independent commission.
This issue shouldn’t prevent Leicester from promotion chances
As mentioned, it is expected that any points deducted will be from the upcoming 2024-25 season, not the current 2023-24 season. With that in mind, and the status of the current Championship Table, Leicester can still gain promotion to the Premier League and return to top-flight football.
Indeed, they currently sit in second place, tied with Leeds United on 82 points, with Ipswich Town close behind on 81 points. There are still plenty of games left but Leicester will be pushing for automatic promotion.
However, it could cause future issues
If Leicester City is successful in their bid for Premier League promotion, it could be short-lived if the breach is enforced and they have points deducted. A deduction of six or more points is a huge blow and as we can see, it has had implications on other clubs’ ability to survive, with Everton and Forest both being in or near the relegation zone in the Premier League.
An EPL return is still on the cards, but it may be short-lived
As discussed, it is highly unlikely that any points deduction will occur in the 2023-24 season, as the supposed offences were committed last season while Leicester was in the Premier League. Therefore, with their current second-place position and clear lead against fourth-place teams and lower, a return to the EPL is still on the cards.
However, if the lawsuit fails and the English Football League follows through with punishment, including the current player embargo and points deduction, their return to top-flight football may be hampered and they could start their 2024-25 campaign with the odds stacked against them.
