Leicester handed points deduction and plunged into immediate danger of relegation

Leicester City have been immediately deducted six points, throwing them into danger of relegation from the Championship.

The Foxes have been punished after being found to have breached the Premier League’s financial rules for the 2023/24 season.

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The deduction sees the former Premier League champions, who are currently without a manager, instantly drop into relegation trouble.

They are now 20th in the Championship and only outside of the relegation zone on goal difference, with 16 league games to go.

An EFL statement, released on Thursday afternoon, read: “The EFL notes the decision of the independent Disciplinary Commission, appointed under Premier League Rules, which has confirmed that Leicester City FC breached the Profit and Sustainability Rules in the three-year reporting period ending with Season 2023/24.

“On consideration of all relevant factors, the commission has recommended a deduction of six points.

“The EFL Board has met to consider the decision and determined that the sanction should be applied to the Championship table with immediate effect.”

Meanwhile, the Premier League, who are reported to have pushed for a 20-point deduction for Leicester, revealed the Foxes breached the PSR threshold by over £20million.

A statement read: “An independent commission has recommended that an immediate six-point deduction be imposed on Leicester City FC in the Championship, having found them to be in breach of the EFL Profit and Sustainability Rules (P&S Rules) for Season 2023/24.

“Upon Leicester City’s promotion to the Premier League in 2024, the EFL’s investigation into the club’s alleged breaches of the P&S Rules transferred to the Premier League.

“Following an Arbitration Tribunal’s decision in March 2025 that confirmed the Premier League had jurisdiction, Leicester City were referred to an independent commission in May 2025.

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“During a week-long hearing in November 2025, Leicester City raised a range of legal challenges regarding the applicability of the relevant rules and the commission’s ability to impose a sanction on the club, all of which were rejected. These included a claim that the relevant rules were in breach of competition law.

“The Commission accepted the club’s submissions as to the length of the relevant assessment period and that a particular accounting policy relating to player costs should apply to reduce the club’s losses in its 2022 annual accounts.

“Having done so, it determined that the club had breached the relevant P&S threshold by £20.8 million over the three-year assessment period (2022-2024).

“The commission found that the club’s refusal to provide its annual accounts to the Premier League by the relevant deadline was a breach of Premier League Rules.

“It also dismissed a claim by the club that it had demonstrated exceptional cooperation throughout the proceedings.

“Following agreement by the parties, and consistent with the relevant guidelines, the commission agreed that the club’s improving financial position over the relevant assessment period was a mitigating factor.

“Under EFL Regulations, as Leicester City is currently a Championship club, the EFL Board today ratified the commission’s recommendation of an immediate points deduction.”

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Leicester and the Premier League can decide to appeal the sanction.

Leicester release statement

Following the news, Leicester have released a statement of their own, writing: “It is with disappointment that Leicester City acknowledges the independent commission’s decision and the club will use the time available to consider its next steps.

“While the commission’s findings significantly reduced the unprecedented scale of the sanction originally sought by the Premier League, the recommendation remains disproportionate and does not adequately reflect the mitigating factors presented, the importance of which cannot be overstated given the potential impact on our sporting ambitions this season.

“We appreciate the commission’s agreement with the club’s position that compliance for FY24 should be assessed over a 36-month period – an important point both for the period in question, but also in providing the club with certainty on its PSR/P&S compliance for FY25.

“The panel also agreed there were no aggravating factors which should be applied to the sanction, which is something the club had maintained throughout, and acknowledged the club demonstrated a positive trend in its finances in FY24.

“We are now reviewing the decision in full and considering the options available to us.

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“We remain committed to engaging constructively and ensuring that any action is fair, proportionate and determined through the appropriate processes.”

Foxes’ nightmare continues

Leicester have been awaiting this deduction for months after their charges were confirmed in May.

They won an appeal against another alleged breach of PSR rules in September 2024, but they have been punished now.

It means the Foxes are now on the brink of potential relegation from the Championship to League One.

After 30 games into the season in the second tier, they have won just ten matches and lost 12, sitting 17th before the deduction.

That form saw Marti Cifuentes sacked last month, with club legend Andy King now in charge on an interim basis.

But they have now dropped even further to 20th in the table, level on 32 points with West Brom and Blackburn.

Therefore, Leicester could be facing a drop to League One, ten years on from winning the Premier League in 2016.