The Premier League's operating costs rose by $108 million during the 2023-2024 season, according to its latest financial report. The cited reasons include "increased legal costs due to club governance issues", along with additional staff recruitment and increased general football support. This figure is in addition to a $58 million increase in operating costs during the 2022-2023 season.
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Man City's Rodri (in blue) holds the ball against Arsenal players during a Premier League match at Etihad Stadium, Manchester, England, on 15/1/2024. *Photo: Reuters* |
The Times (UK) reports that the total cost to all parties involved in the legal dispute between the Premier League and Man City over 130 alleged financial fair play breaches has exceeded $266 million in the past five years. Top lawyers hired by each side are charging thousands of dollars per hour.
"The amount spent on this case is truly shocking," an anonymous club executive told the newspaper. "This money could have been used to support clubs instead of lawyers."
The Premier League's legal budget for the 2023-2024 season was approximately $64 million, six times the initial budget. In addition to the 130 alleged breaches case, the league is also involved in another lawsuit filed by Man City last year concerning the Associated Party Transaction rules. The league was forced to amend these rules following Man City's initial legal action. However, the Etihad club is not yet ready to cease its retaliatory action, with a hearing scheduled for September.
Tottenham chairman, Daniel Levy, this week questioned why the outcome of the 130 charges case has not been announced, despite the hearing before a panel concluding eight months ago.
"I don't think it's fair for me to comment on another Premier League club. I would just say that the process has taken far too long," Levy said on Gary Neville's The Overlap program. "For the good of football, it needs to reach a conclusion one way or the other."
He continued: "It's unfortunate we can't resolve things internally and we have to go to lawyers, who are making an awful lot of money out of it."
Meanwhile, the investigation into Chelsea regarding alleged irregular payments during Roman Abramovich's ownership, self-reported by new owners Clearlake Capital and Todd Boehly, has entered its third year after the club provided new information.
Furthermore, several other cases involve league clubs accused of breaching Profit and Sustainability Rules (PSR). In June, a panel ruled that the Premier League must pay a total of $1.16 million in costs in a case where Nottingham admitted breaching PSR. The cost of the Premier League's case against Everton has reached $6.5 million.
The number of lawsuits and investigations opened in the Premier League is unprecedented, but the league believes it has a responsibility to protect its integrity, defend against legal challenges, and enforce its rules.
The Man City case originated from the Premier League. They allege that Man City did not report accurate financial information from the 2009-2010 season to 2017-2018, nor did they provide full details of former manager Roberto Mancini's salary from 2009-2010 to 2012-2013. Man City is also accused of failing to provide complete details of player payments from 2010-2011 to 2015-2016 and of not cooperating with the investigation from 2018 to 2023.
Man City has consistently denied any wrongdoing. However, if found guilty, they could face heavy fines, point deductions, title stripping, or relegation. During the 14 years in question, Man City won seven Premier League titles.
Ha Phuong (*The Times*)