Premier League clubs have sought legal advice on whether they could pursue a compensation claim over City’s charges after Manchester City were found guilty of a majority of the financial rule breaches brought against them. The outcome of the long-running case has raised the possibility of separate legal claims from rival clubs, while City are expected to appeal the independent panel’s findings.
The development comes more than three years after City were charged by the Premier League and almost two years after the hearing before an independent commission concluded.
115 Charges Case Opens Door to Compensation Claims
A number of Premier League clubs had already begun seeking legal advice before Friday’s announcement to establish whether they could claim financial compensation as a result of City’s alleged breaches.
One source who previously held a senior executive position at a Premier League club told BBC Sport they expected individual clubs to submit compensation claims against Manchester City. However, another leading lawyer suggested that the process could potentially be centralized by the Premier League.
The situation has created an important legal question for clubs that believe they may have suffered financial losses as a result of City’s alleged breaches. The supplied report does not establish that any club has formally filed a compensation claim against City, but it confirms that legal advice has been sought.
There is already a relevant precedent involving Everton and Burnley.
In June, Everton were ordered to pay Burnley £35m after being found to have breached the Premier League’s Profitability and Sustainability Rules over a three-year period. Burnley argued that Everton’s breach had affected their prospects of remaining in the Premier League and sought compensation for losses associated with relegation.
Everton have appealed the ruling and are expected to contest it “robustly and thoroughly”. The case nevertheless provides an important backdrop to the potential financial consequences surrounding the Manchester City proceedings.
What Happened With the 115 Charges?
Manchester City were charged by the Premier League in February 2023 following a four-year investigation into alleged financial rule breaches between 2009 and 2018.
The 115 charges covered several areas, including allegations that City failed to provide accurate financial information, failed to provide accurate details concerning player and manager payments, breached Uefa financial rules and failed to comply with Premier League profitability regulations.
The charges were divided into five main categories. City faced 54 allegations relating to the provision of accurate financial information between 2009-10 and 2017-18, alongside 14 allegations concerning player and manager payments during the same period.
There were also five charges relating to Uefa rules, including Financial Fair Play regulations, seven concerning the Premier League’s Profitability and Sustainability Rules and 35 allegations of failing to cooperate with the Premier League’s investigation.
The independent hearing began in September 2024 behind closed doors and concluded in December after approximately 12 weeks.
The Athletic reported that 114 of the 115 counts had been upheld, although the BBC said it had been told that the independent panel had ruled and that the majority of charges had been upheld.
The BBC has not independently verified suggestions from the Times and football finance expert Kieran Maguire that the number of charges could be as high as 130.
Manchester City Deny Wrongdoing and Plan Appeal
Manchester City continue to deny wrongdoing and have indicated that the legal process remains ongoing.
In a statement, the club said: “Premier League process remains ongoing with significant elements to be completed, and subject to strict confidentiality.”
City also said they had respected due process for eight years on the basis that the Premier League board and executive would act as an independent and impartial regulator.
The club’s expected appeal means the latest findings may not bring an immediate end to the case. The punishment decided by the independent panel is understood to be due to be released before any appeal has been completed.
Because of the seriousness of the findings, the possible sanctions could be substantial. City could potentially face a points deduction, large fines or even expulsion from the Premier League, although the final punishment has not yet been announced.
An appeal could therefore prolong the uncertainty surrounding the case and its potential consequences for both City and the wider Premier League.
Compensation Claims Could Add Another Chapter
The possibility of compensation claims would create another layer to an already lengthy dispute.
The original investigation covered a period in which City won eight trophies, including three Premier League titles, three League Cups, one Community Shield and one FA Cup. The managerial periods of Roberto Mancini and Manuel Pellegrini, as well as the first two years of Pep Guardiola’s tenure, fall within the period examined.
Other legal disputes between City and the Premier League have also shaped the background to the case. In 2024, an arbitration panel found against aspects of the league’s Associated Party Transaction regulations after City challenged them.
A tribunal in February 2025 subsequently found the Premier League’s sponsorship rules covering the period from 2021 to 2024 “void and unenforceable”. City and the league reached a settlement in September 2025, with City accepting that the APT rules were valid and binding while both sides agreed to terminate their legal proceedings.
The 115 charges case is separate from that dispute, but its consequences could now extend beyond the disciplinary process if clubs pursue compensation.
For now, no compensation award has been made against Manchester City in relation to the case, and the club is expected to appeal the findings. The Premier League has also not officially announced the independent panel’s decision and has declined to comment.
What happens next could therefore involve several stages, from the publication of the punishment and City’s appeal to potential compensation proceedings involving other Premier League clubs.
