Premier League PSR news: Clubs avoid Profit and Sustainability charges for 2021-2024 period

No Premier League clubs have been charged with Profit and Sustainability breaches for the three-year period between 2021-2024.

Clubs who had recorded losses for the first two seasons of the latest three-season cycle were required to submit their accounts for the year ending June 2024 to the Premier League by December 31.

Profitability and Sustainability Rules mean clubs are not allowed to lose more than £105m over three-season rolling periods.

That is reduced by £22m for every season a club spends outside the Premier League during the reporting period.

There was speculation that a number of clubs - most notably Leicester - were in danger of breaching the rules, but all clubs have complied.

Leicester successfully appealed against a points deduction for the period ending 2022/23, arguing that the Premier League could not charge them because they had been relegated to the Championship and were under EFL jurisdiction.

The Premier League has appealed that and an arbitration process is ongoing.

A Leicester statement said: "Issues as to the jurisdiction of the Premier League over Leicester City Football Club in relation to PSR compliance are currently the subject of confidential arbitration proceedings.

"Accordingly, neither the League nor the club will make any further comment at this stage about any aspect of the club's compliance or otherwise with any of the PSR or related rules, save to say that no complaint has been brought against Leicester by the League for any breach of the PSRs for the period ending season 2023-24."

Nottingham Forest and Everton were charged and deducted four and eight points respectively a year ago after breaking PSR rules for the period 2020-23.

Tuesday marked the deadline when any complaints had to be issued under the league's fast-track 'standard directions' for PSR, whereby the whole process - including appeals - has to be wrapped up by June 1, before the handover of Premier League 'shares' from relegated clubs to promoted clubs.

PSR is set to be replaced by a new set of financial rules for next season.

Clubs will instead be limited to spending 85 per cent of revenue on squad-related costs - dropping to 70 per cent for those involved in UEFA competitions in order to comply with the rules at continental level.

Insportly' Rob Dorsett on Leicester avoiding PSR charges for the period 2021-2024:

"There aren't big celebrations inside Leicester City today, because they are not yet in the clear when it comes to PSR, and the finances remain very tight. But the fact that they will not face a sanction for breaching the rules at this stage - and crucially, an immediate points deduction - will be a huge boost to Ruud van Nistelrooy and the players as they battle relegation.

"The Premier League is not seeking a charge against Leicester because right now, they can't. Until the outcome of the confidential arbitration proceedings is known, it is not clear whether the League has jurisdiction over the East Midlands club for the season they were in the Championship.

"In September 2024, Leicester won a legal battle arguing that, because they had already been relegated from the top division when their accounts were filed in June 2023. The Premier League rules could not apply to them at that time. The League appealed that decision, and the results of that arbitration are not yet known - nor is there a timescale for when they will be published.

"It is still possible that - if the arbitration process goes the way of the Premier League - Leicester could be punished retrospectively. Some reports suggest they have breached the latest three-year accounting limit by £12m. But behind the scenes, there is not only a stiff resolve that they have done nothing wrong, but also a tentative belief that this may be the end of Leicester's PSR worries. Remember, the rules are due to be changed in time for the start of next season.

"But even if Leicester avoid a points deduction in the long term, the financial climate is pretty dark - not withstanding that Leicester have worked incredibly hard to cut their costs in recent seasons. After relegation in May 2023 they raised almost £100 million in 12 months with the sales of Kiernan Dewsbury-Hall to Chelsea, Harvey Barnes to Newcastle and Timothy Castagne to Fulham.

"They are expecting that any new player arrivals this month will be offset by outgoings, and even if they avoid relegation, they are almost certain to take a cautious approach to the summer transfer window."

Insportly News chief reporter Kaveh Solhekol:

"Quite a few Premier League sides [will be breathing a bigger sigh of relief than others] and also football supporters as well because the last thing we want to be doing over the next few months is talking about endless PSR cases and also having a Premier League table with asterisks next to clubs' names because they have been deducted points for breaking financial rules.

"The good news is that no clubs have been charged; everybody is in the clear.

"There is just one little question mark hanging over Leicester City because Leicester are still in dispute with the Premier League, there is ongoing confidential arbitration. It's all to do with a legal issue of technically whether Leicester City were a Premier League side when they submitted their accounts for the season ending summer 2023 because they'd been relegated.

"Leicester City were arguing: 'look, we were relegated, we were in the EFL, we were not a Premier League side so we shouldn't have been charged with breaching the financial rules'. That is all being sorted out at the moment in confidential arbitration proceedings.

"But, having said that and taken that into consideration, overall it is good news I think for Premier League clubs that no one has been charged."