Manchester City rivals say one-season relegation would be insufficient after financial ruling

Manchester City’s Premier League rivals are pressing for a punishment that would keep the club out of the top flight for longer than one season, the Guardian reported on 30 September. Executives at several clubs told the newspaper that relegation to the Championship for a single season would be insufficient after an independent commission found City had breached financial rules. No sanction has been imposed, and City disputes the findings.

The reported demands mark a new stage after the commission’s verdict: other clubs are now arguing over the scale of the punishment. Their views do not determine the outcome. The Premier League can put forward a proposed sanction, but the independent commission will decide it at a separate hearing. City can appeal the findings and any sanction that follows.

Why rival clubs want a longer absence

The Guardian did not identify the executives or say which clubs they represented. One club source told the newspaper: ‘Relegation to the Championship for one season would be insufficient.’ The source said punishment should reflect years of sustained rule breaking and deter similar conduct. That is a reported club position, not a penalty adopted by the league or the commission.

According to the Guardian, some clubs also want the process finished before the end of the season. They have no formal role in choosing a sanction. The newspaper reported that their argument rests in part on the commission’s finding that City’s financial arrangements artificially inflated income by more than £900 million during the affected period.

What the commission found about Manchester City

The league said the commission found that City used sham commercial agreements to increase reported revenue and arrangements funded by its then owner, Abu Dhabi United Group Investment & Development Ltd, to reduce reported costs. It said the arrangements changed the club’s reported financial position by more than £900 million over the period. The commission found that accurate accounts would have put City substantially over Premier League and UEFA spending limits.

The Premier League also said the commission found that City had misstated its accounts and concealed its true financial position from auditors and football regulators. Three of four alleged breaches of duties to cooperate were upheld. The league quoted the commission as concluding that the club made ‘concerted efforts to stop and frustrate’ its investigation.

City maintains that it is ‘innocent of the accusations made by the Premier League’ and that comprehensive evidence supports its position, according to the Guardian. The league has published a redacted summary of the commission’s core decision; it says the full decision and appendices cannot yet be published. Its statement describes the findings and the steps still to come.

How a sanction and appeal would be decided

The Premier League says City has until Friday 2 October to appeal the findings. An Appeal Board would hear that challenge. A further hearing before the commission will address the sanction, with the proceedings private until publication is permitted. The commission can impose fines, points deductions or other sporting sanctions; the Guardian also lists a transfer embargo and expulsion among the possibilities.

The Guardian reported that new league rules set a 12-week limit for an appeal hearing after the filing deadline, followed by up to 30 days for a judgment. On that timetable, it said, a decision could come by the end of January 2027. It also cautioned that City might challenge whether those newer deadlines apply to historic charges. The timing therefore remains uncertain.

A sanction hearing could run alongside the appeal timetable, the Guardian reported, but that has not been confirmed. Its result would not be published while the appeal remained unresolved, and City could appeal a sanction separately. Even if rival clubs press for a longer absence, neither its form nor its length has been decided.

Why the Everton points deduction is a limited guide

Everton’s financial-rule case shows that a proposed or initial points deduction need not be the final penalty. The Premier League’s account says Everton received a 10-point deduction in November 2023. An independent Appeal Board reduced it to six points in February 2024 after upholding two of the club’s nine grounds concerning the sanction.

The Guardian says there is no comparable precedent for the scale of the findings against City. Everton’s outcome illustrates how an appeal can change a sanction, but it cannot establish what the commission will impose here. City’s case concerns findings across nine seasons, including the commission’s conclusions about its accounts and its cooperation with the investigation.

The Guardian has also reported informal discussions among Manchester United, Arsenal, Tottenham and Liverpool about possible compensation claims after they reserved their rights to sue. It did not report a claim filed by any of them. Those discussions are separate from the commission’s decision on punishment, which remains the immediate unresolved question for City and its Premier League rivals.