Leicester deducted fifteen points (8 Viewers)

KenilworthSkyBlue · 2026-04-24T12:03:01+0100

Lamps said:
There's also Faes, Choudhary and Cordova-Reid in massive wages with another year left. Then you have players like Skipp who have a couple of years left on their contracts.

Faes' loan comes with an option to buy so I presume Monaco will take that up in the summer.

But yes, their wage bill will still remain exceedingly high even after the players whose contracts / loan deals expire leave.

Finding clubs for the remainder of those high earners which are still under contract is going to be incredibly difficult given their wages.

DazzleTommyDazzle · 2026-04-24T12:30:15+0100

KenilworthSkyBlue said:
Faes' loan comes with an option to buy so I presume Monaco will take that up in the summer.

But yes, their wage bill will still remain exceedingly high even after the players whose contracts / loan deals expire leave.

Finding clubs for the remainder of those high earners which are still under contract is going to be incredibly difficult given their wages.

I remember back in the late 70's, early 80's, Bristol City ran into major problems.

After they lost Garry Collier to us under freedom of contract (though they got a decent fee in those pre-Bosman days) they put their players on long inflation proof contracts.

Then they started to fall down the leagues and with the high inflation at that time they were in danger of going bust. As I recall, a number of the players ripped up their contracts to save the club.

Somehow can't see Winks leading that particular charge.

HuckerbyDublinWhelan · 2026-04-24T13:26:00+0100

Grendel said:
I think the deduction is based on the amount the approved bidder offers secured creditors. SW will get a big points penalty next season as the offer falls well below the amount the EFL have as a set benchmark which I think is 25p in the pound

KenilworthSkyBlue said:
It’s a huge grey area, to be honest, where effectively football regulation sits alongside insolvency law and, in practice, can lead to outcomes that don’t always match what creditors would normally expect in other industries.

Hence why HMRC kick off now and again claiming they've lost millions as they argue it can leave tax liabilities unfairly exposed.

This is what i thought, Don't HMRC kick off because they're not gurarenteed what they want because they don't get preferential? I thought it was football creditors to be paid in full, everyone else is 25p in the £

CovRes · 2026-04-24T13:34:52+0100

HuckerbyDublinWhelan said:
This is what i thought, Don't HMRC kick off because they're not gurarenteed what they want because they don't get preferential? I thought it was football creditors to be paid in full, everyone else is 25p in the £

I think 25p in the £ is another football rule. If you don't match or exceed that then it's another points deduction. As Wednesday are about to find out.

HMRC's argument is that if football creditors can be paid, then they can be paid.

Sky_Blue_Dreamer · 2026-04-24T15:56:26+0100

KenilworthSkyBlue said:
The administrator doesn't even get a say really, or rather their say is heavily constrained by the FCR. Football-related debts must be paid in full before non-football creditors when a club enters administration. Therefore, given they supposedly still owe over £80m in transfer instalments that would be the first port of call, along with wages etc.

It still baffles me how the football creditors rule is allowed to stand. They're trade creditors, and should be treated as such. A trade organisation cannot be allowed to overrule the law. Are we going to see the Cheese Board demand that all cheese creditors are paid in full?

Might make clubs actually think more carefully about how they sell to and bring the prices down if there's more insecurity on long term agreements.

COVKIDSNEVERQUIT · 2026-04-24T16:01:13+0100

Lamps said:
He is one of a few on here that doesn't mind looking an idiot in an attempt to try and look intelligent.

Macquarie bank specialises in giving loans to football clubs. There's clubs all over the country that use them, but normally used for short term cash flow. For example when we sold Gyokeres and Hamer we waited for the payments to come in but could have gone to them and had the money in advance.

The problem for Leicester is they took the money in advance for future parachute payments plus a lot more. It looks like they have also taken out loans against the football ground and the training ground. They don't have the money to pay for the poor quality players they still have installments to make. Top, their owner is skint. His family is rich but won't give him the couple of hundred million he needs.

For Macquarie bank to get their money back they would have to take legal action. Leicester will also have to find a massive amount to pay their tax bill.

Leicester City Phoenix Club

Well, never thought we'd be here - but could be nearer than we think by the looks of things. Some pretty interesting information on the FSA's page: https://thefsa.org.uk/fan-resources/resource-training/community-owned-clubs/setting-up-a-new-club/ Time for Leicester Fosse FC?

www.foxestalk.co.uk

Their own supporters know how difficult the future looks.

Bugsy · 2026-04-24T16:04:02+0100

Captain Dart · 2026-04-24T17:13:47+0100

Grendel said:
If the club goes into administration there’s a hierarchy of who gets what. As someone said it’s football creditors first.

The best fairly recent example of a big club facing league one and administration is Southampton who ironically rejected Sisu and thrived afterwards

Soton were in safe hands. I'm sure that fact will make a few people apoplectic.

Sky Blue Wozza · 2026-04-24T17:17:54+0100

Baggies get 2pts deduction. Leicester still relegated.

Danceswithhorses · 2026-04-24T18:17:29+0100

Sky Blue Wozza said:
Baggies get 2pts deduction. Leicester still relegated.

That seems fair...unlike the low 6 points deduction Leicester received.

CovRes · 2026-04-24T18:22:56+0100

Sky_Blue_Dreamer said:
It still baffles me how the football creditors rule is allowed to stand. They're trade creditors, and should be treated as such. A trade organisation cannot be allowed to overrule the law. Are we going to see the Cheese Board demand that all cheese creditors are paid in full?

Might make clubs actually think more carefully about how they sell to and bring the prices down if there's more insecurity on long term agreements.

At this point it's an established principle which printing firms, plumbers, etc are aware of when entering into a contract with a club. Trade creditors are used to being at or near the bottom of the list regardless of who they're dealing with.

Leicester deducted fifteen points (8 Viewers)

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