Manchester City are appealing after being found guilty of 114 charges relating to financial breaches but if this fails they may face severe sanctions
Manchester City players react after conceding three goals during the UEFA Champions League 2026/27 League Phase MD2 match between Manchester City and Paris Saint-Germain
Manchester City could face costly sanctions if their appeal fails(Image: Getty)
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Manchester City have denied all wrongdoing and appealed against the guilty verdict on their financial charges. But if this is upheld, the club could face significant sanctions.
The footballing world was plunged into uncertainty last month when an independent commission found City guilty on 114 of the 115 charges they faced, relating to breaches of financial rules and reporting requirements between 2009 and 2018.
The club have been accused of orchestrating "sham" agreements to disguise direct owner funding of over £800million and of actively obstructing the investigation. However, this was all vehemently denied, as City claim to possess "irrefutable evidence" that their revenues and contracts were authentic. The appeals process is underway and reports suggest that the Premier League Appeal Board's findings may not be delivered until January.
Yet if it fails, the punishments City could face range from a hefty points deduction to expulsion from the Premier League entirely. The menu of disciplinary powers available to an independent commission explicitly includes three primary sanctions, so the Manchester Evening News takes a look at the potential fallout of each scenario.
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Severe points deduction
Insiders currently point to a points deduction being the most likely punishment if City lose their appeal, according to reports. The Daily Mail claims that the sanction may be so harsh that it guarantees the club will be relegated to the Championship and a further deduction will ensure they remain in the division for another season.
As for how this would play out, it would be rather simple. Points deductions have been handed out in recent years for breaches, namely to Everton and Nottingham Forest in the 2023/24 season.
Nico O'Reilly of Manchester City looks dejected after the UEFA Champions League 2026/27 League Phase MD2 match between Manchester City and Paris Saint-Germain at City of Manchester Stadium
City might face relegation(Image: Getty)
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Should the sanction be as severe as anticipated and City are indeed relegated, then there is no issue in co-operating with the EFL - a promoted Championship side would simply replace City, provided City satisfy the EFL's admission and financial criteria.
Things could get complicated concerning the rumoured second-season deduction, though, as the EFL would have to hand this out. But if this can be agreed upon, then again, whether it keeps them in the league or not, there is no need to alter how the Championship operates.
Among rival fans, some feel this prospective punishment lets City off lightly, whilst others see it as fair. It is likely that, with City's infrastructure, they could bounce back into the top flight following this hypothetical period. Yet the Premier League would lose City, one of its most valuable sporting assets.
However, several first-team players would likely wish to leave should they be relegated following a deduction and many changes would have to be made regarding wages.
A massive fine
Reports also state that City will be fined, either alongside a points deduction or as their sole punishment. For example, ex-Arsenal star Martin Keown claimed on talkSPORT that sources tell him this is how City will be punished should their appeal fail.
The nature of any fine is purely speculative, as would be the amount. The largest fine the Premier League has ever handed out to a club was the £10.75 million imposed on Chelsea in March. However, the severity of the findings means any financial sanction would dwarf that figure.
Pep Guardiola former head coach / manager of Manchester City reacts in the stands during the UEFA Champions League 2026/27 League Phase MD2 match between Manchester City and Paris Saint-Germain at City of Manchester Stadium
Any unprecedented fine could throw City's finances into disarray(Image: Getty)
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City have a £715m annual turnover, so, speaking theoretically, the fine they may get determines how seriously they are impacted. Anything less than £50m may not make a dent. In contrast, anything above £200m would affect spending and perhaps force player sales, as the league restricts owner-funded losses to £90m over a three-year period, ruling out intervention.
In the unlikely event that the league chooses to fine City the full sum of their supposed £800m-plus in disguised owner funding, it would probably decimate the current squad, although this remains almost unfathomable.
Whilst a financial penalty is straightforward to administer, many could feel that a light or moderate fine would be ineffective. That is perhaps why, historically, points deductions have been proposed over fines, so clubs feel the impact of their wrongdoing more severely. A fine is still likely, though perhaps in tandem with another sanction.
Immediate expulsion
A final and nuclear option for the Premier League is to remove City from the current hierarchy altogether. Depending on the FA's classification, they could end up in the National League or Tier 10 of the football pyramid if this drastic action were taken and the EFL refused to accept them.
Of course, if this were to occur instead of a more natural relegation following a points deduction, City would receive no parachute payments or prize money from higher leagues. They would be thrown right down the ladder and forced to spend multiple seasons trying to get back to the top flight.
Manchester City's English midfielder #33 Nico O'Reilly reacts during the English Premier League football match between Manchester City and Ipswich Town at the Etihad Stadium in Manchester
Expelling the club is reportedly an unlikely option(Image: Getty)
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Players would almost certainly be forced to leave, as would highly paid members of staff, as the current infrastructure would not be capable of operating in non-league football, even for a single season. City's fanbase would also feel the effects of this sanction hard, as allocations for away fixtures would be minimal.
Yet severe logistical hurdles suggest outright expulsion remains improbable. The receiving non-league competition would have to formally accept City, distorting promotion and relegation quotas across the pyramid.
The Premier League and Championship would also face unresolved fixture vacancies, leaving open the question of whether an additional team is promoted or one fewer is relegated. Whichever league City lands in could also reject them.
Lastly, City's legal counsel would almost certainly challenge an expulsion order in the High Court under the Arbitration Act, seeking an emergency injunction that could leave English football entangled in litigation for years.