Leicester city points deduction claim emerges as coventry city watch on

Leicester City could face at least a 12-point penalty when they start next season back in the Championship, it is claimed. The Foxes have allegedly breached financial rules after chasing

their tails trying to sustain a place in the Premier League's top eight. A shock relegation in 2023 took an almighty whack on their income too - and significantly reduced the amount

they are allowed to lose over a three-year rolling cycle. They won promotion in 2023/24 but are heading straight back down again - and have been referred by the Premier League to an

independent commission for an alleged breach of profit and sustainability rules for the period up to and including season 2023/24. READ MORE: RELEGATED CLUB JOIN RACE FOR ASTON VILLA MAN

LINKED WITH COVENTRY CITY INTEREST READ MORE: COVENTRY CITY RETAINED LIST LATEST AS VERDICT GIVEN ON SIX WHOSE FUTURES ARE UP FOR DISCUSSION Leicester had previously been referred to the

commission for the three years up to 2023 - when they allegedly breached PSR limits by £19.5 million - but escaped punishment due to a loophole, successfully arguing they were no longer a

Premier League club and not yet a Championship club when they filed their 2022/23 accounts. That loophole has since been addressed by the top flight and EFL. The club has recorded total

losses of £201.6m in the most recent three-year cycle - although not all, such as spending on academy and infrastructure, are applicable to P&S calculations - but is only allowed to lose

up to £84.5m because one year of that was spent in the Championship. Premier League clubs are allowed to lose up to £35m a year and Championship clubs can lose up to £13m, plus an extra

£1.5m for the 2023/24 season due to the rising cost of living. The authorities could come down on them heavily. The Athletic report: "Because both the EFL and Premier League have

prosecuted numerous PSR cases now, we also have a good sense of how many points a tribunal is likely to deduct for a significant breach, particularly if it is considered to be

'aggravated' as opposed to 'mitigated'. "Given Leicester’s long fight to avoid being sanctioned by either body and their most recent failure to submit accounts to

the Premier League, they are almost certainly going to be charged with an aggravated breach. This would suggest a starting position of them getting docked 12 points, though with a good

chance that the Premier League will ask for even more." There has been speculation that Leicester could be hit by a transfer embargo too although LeicestershireLive insists "there

are no indications yet that one would be applied". But there is frustration that the punishment will come next season, when they would be expected to challenge for promotion, rather

than this one, when they have long felt doomed to finish in the bottom three anyway. LeicestershireLive report: "Had Leicester been charged with a breach of their 23-24 finances in

January, when the assessments for the other clubs took place, the matter would likely be over now, and any points deduction would have been applied to this season, where it ultimately

wouldn’t matter as they’ve been relegated anyway. "It could be argued that Leicester dragged the situation out, but it was more the Premier League who have done so. Had the club not

appealed the 22/23 ruling last summer, they would have started the season with a points deduction, harming their chances of survival. It was the Premier League that challenged the appeal

board’s decision and took the matter to a tribunal, dragging out the case. "In hindsight, yes, Leicester would have been better off not appealing in the first place, and accepting a

points deduction at the start of this campaign, allowing them to start afresh next term." All this comes in a season when the Championship could have as few as three clubs with

parachute payments next season, the lowest since the current system was put in place a decade ago. There were six in 2024/25. Fourteen out of 20 clubs promoted from this division since Stoke

City were relegated in 2018 have been in receipt of parachutes but Leicester's £50m head start could be kyboshed by what happens in the PSR ruling. Sheffield United started this term

with a two-point deduction due to defaulting on payments to other clubs in 2022/23 and 2023/24 but recovered to finish third and reach the play-off final. WHAT DO YOU THINK? CLICK HERE TO

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