Manchester City could still compete in next season’s Champions League even if they are relegated from the Premier League over financial breaches, a possibility that has reportedly raised concerns among senior figures in English football.
According to the BBC, the situation could arise if City win this season’s Champions League, as that would provide them with a route into the following campaign as defending champions regardless of where they finish in the English football pyramid.
There is currently no automatic mechanism preventing a club from competing in a European competition if it qualifies on sporting merit.
The issue has emerged as City await punishment after an independent commission found the club guilty of all charges relating to the inflation of sponsorship revenue by £830 million through sham contracts and the concealment of another £90 million in expenses.
The commission also concluded that, without the alleged breaches, City would have failed the Premier League’s profit and sustainability rules in each of the nine seasons between 2009-10 and 2017-18.
City have denied wrongdoing, describing the findings as a “Premier League conspiracy”, and have appealed the verdict.
BBC Sport reports that several senior figures in English football have raised concerns about the possibility of City qualifying for Europe if their appeal fails and they receive severe sanctions.
Potential punishment could include a substantial points deduction, a major fine, transfer restrictions or even immediate expulsion from the Premier League.
A key question is whether City would be granted the UEFA licence required to participate in European competitions.
The licensing process is overseen by the Football Association and delegated to the Premier League, but the criteria are largely based on a club’s current financial position rather than historical breaches or sanctions.
One source told BBC Sport that City’s licence had already “been raised”, but said resolving the issue would require “the sort of joined up thinking that’s been a bit lacking so far”.
Another source questioned what grounds could be used to deny City a licence because the system primarily assesses current financial performance.
Even if a points deduction prevents City from qualifying through their Premier League position, winning the Champions League would provide an alternative route.
City could also secure European football through domestic cup success. The FA Cup offers a place in the Europa League, while winning the Carabao Cup provides access to the Conference League.
UEFA is unable to intervene while the Premier League’s disciplinary process remains unresolved. However, its administration and Club Financial Control Body are expected to examine the possible scenarios.
If City’s appeal fails and they qualify for European competition, UEFA could potentially open disciplinary proceedings to determine whether their eligibility can be removed.
Such action could face legal challenges, however, following City’s successful appeal against a two-year UEFA ban at the Court of Arbitration for Sport in 2020. CAS ruled that UEFA’s findings in that case were time-barred under its regulations.
The Premier League has yet to schedule the sanctioning hearing that will determine City’s punishment over the latest findings.
