Manchester City Found Guilty of Breaching Premier League Financial Rules

An independent commission has ruled against the club in the most significant disciplinary case in Premier League history. City deny wrongdoing and have appealed.

The Verdict

Manchester City were found guilty of almost all of the 115 charges of financial wrongdoing they faced, the Premier League confirmed on Tuesday. The commission found City guilty of all 80 financial charges and 34 of the 35 charges of failing to cooperate with the league's investigation. That is the 114 of 115 figure widely reported.

Premier League chief executive Richard Masters said the ruling showed City systematically broke the rules for nearly a decade. The breaches span nine seasons, from 2009-10 to 2017-18.

The Rules City Broke

The charges comprise 54 counts of failing to provide accurate financial information, 14 counts of failing to provide accurate details of player and manager payments, 7 counts of breaching the Premier League's Profit and Sustainability Rules, 5 counts of breaching UEFA's Financial Fair Play regulations, and 35 counts of failing to cooperate with league investigations.

Accurate financial information (54): Clubs must give the league accounts that present a true and fair picture, including sponsorship income and related-party dealings.

Player and manager payments (14): Clubs must disclose in full what they pay players and managers.

Profit and Sustainability Rules (7): The league's own limits on how much a club can lose.

UEFA Financial Fair Play (5): European football's equivalent spending limits.

Duty to cooperate (35): Clubs must assist league investigations.

What the Commission Found

The commission found City arranged "sham" contracts with commercial partners that misrepresented the true agreement between the parties. In some deals, companies were only required to pay a portion of the stated sponsorship fees. The league says the schemes artificially inflated revenue and reduced costs by more than £900 million, so the club appeared to comply with the financial rules. Sky Sports reports the revenue inflation figure as £830m, so the exact number depends on how it is counted.

In effect, the finding is that owner funding was disguised as sponsorship income, which let City spend beyond limits designed to restrict owner bankrolling. The commission concluded the club intentionally hid the true source of its finances, and with accurate accounts it would have breached spending rules by a very substantial amount. It also accused City's defence witnesses of dishonesty.

How the Case Got Here

The case traces back to leaked documents published by Der Spiegel, which led to investigations by UEFA and later the Premier League. In February 2020, UEFA found City guilty of breaching its rules and imposed a €30m fine and a two-year Champions League ban. That ruling was later overturned on appeal to the Court of Arbitration for Sport, which found no proof of the alleged sponsorship breaches but upheld the failure to cooperate, with a reduced fine.

The Premier League brought its 115 charges in February 2023. The hearing opened in September 2024 and ended that December, and then came a wait of almost two years for the verdict.

City's Response and Appeal

City filed a comprehensive appeal at 7pm on 1 October 2026, ahead of the Friday deadline. The appeal will be heard in private, as the original hearings were. Sky Sports understands City are likely to argue that the extra sponsorship funding came from the Abu Dhabi government rather than the club's owners. That distinction matters because the rules treat owner money and third-party money differently. Etihad Airways, City's principal sponsor, has said it is considering legal action against the Premier League.

What Happens Next

Potential sanctions include a reprimand, fine, suspension, points deduction or, in the worst case, expulsion. It is unclear whether any sanction would be announced before the appeal is heard, or whether it would take effect immediately. The league cannot formally relegate City, since the Championship is run by the English Football League, but a large enough points deduction would have the same effect. Finance expert Kieran Maguire has suggested a deduction of 40 to 60 points.

Meanwhile, City, who lead the league, visit Liverpool on 11 October.

Developing story. Details may change as the appeal progresses.