The Premier League hasn’t charged any clubs over profit and sustainability (PSR) rules for the 2023/24 season after all 20 were considered financially compliant.
Clubs submitted their 2023/24 accounts by 31 December 2024, and the league judged that all 20 sides followed the rules.
Part of PRS regulations means clubs cannot lose more than £105m over a rolling three-year period.
Last season, both Nottingham Forest and Everton were sanctioned for PSR breaches. Forest were docked four points, while Everton were docked eight.
In September, Leicester City won an appeal against a points deduction. They were initially charged over the three years up to 2022/23 but escaped a deduction following the appeal.
This was after an independent panel judged that the Premier League could not sanction the Foxes due to Leicester’s relegation to the Championship at the end of the accounting period in June 2023.
A joint statement from the Premier League and Leicester said the matter was “the subject of confidential arbitration proceedings”.
What Is Premier League PSR?
The Premier League’s profit and sustainability regulations (PSR) are designed to ensure the financial viability of teams in the league.
Both UEFA and the Premier League use such rules and monitor the finances of clubs to ensure compliance – and issue sanctions against those breaking the rules.
For Premier League teams to comply with PSR, they must share their profit & loss accounts and balance sheet with the league by 31 March each year.
They then have a “PSR Calculation”, which measures a clubs adjusted pre-tax earnings over a rolling three-year period.
The calculations are ‘adjusted’ as clubs can deduct any of the following costs from their PSR record:
- Depreciation of assets.
- Women’s football.
- Youth development.
- Community development.
If a club posts losses, the Premier League will intervene in a number of ways.
For losses under £15m, the league just makes sure a club can pay its debts.
If losses are over £15m, clubs must cover the loss with “secure funding” – which must be an equity investment, not an owner’s loan.
Any losses above £105m are deemed a breach of PSR. Clubs found to be in breach are referred to an independent commission and must face possible sanctions – such as points deductions.
There are very few limits on how severs such sanctions can be. In theory, the Premier League could give clubs an unlimited fine, or expel them from the league.
