The legal action taken by Manchester City against the Premier League has reportedly put a £900million deal vital to the financial future of EFL clubs at risk. City want the Premier League to scrap rules limiting the value of sponsorship deals between clubs and companies linked to their owners.
If the reigning Premier League champions are successful in arguing their case and the rules are scrapped, it could land them with a significant advantage in the transfer market over clubs unable to capitalise on lucrative sponsorship deals with companies linked to their owners.
According to The Times, bosses of Premier League clubs will be reluctant to divert funds to the EFL if they need to spend more to keep pace with the likes of City.
The Sky Blues have taken action against the Premier League several months ahead of a separate hearing into 115 alleged breaches of financial rules – all of which the club deny. The same report states that some Premier League clubs are keen to see expulsion from the Premier League left on the table as a possible punishment if City are found guilty.
Those clubs are said to be ‘furious’ that City initially approved changes to Associated Party Transaction rules in 2021, which form the basis of their recent legal challenge against the Premier League.
MORE TO FOLLOW
We’ll be bringing you the very latest updates, pictures and video on this breaking news story.
For the latest news and breaking news visit: express.co.uk/sport/football. Stay up to date with all the big headlines, pictures, analysis, opinion and video on the stories that matter to you.
Follow us on Twitter @dexpress_sport – the official Daily Express & Express.co.uk Twitter account – providing real news in real time.
We’re also on Facebook @dailyexpresssport – offering your must-see news, features, videos and pictures throughout the day to like, comment and share from the Daily Express, Sunday Express and Express.co.uk.
