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FC Porto v Manchester City - UEFA Champions League 2026/27 League Phase MD1

English Officials Fear Man City Could Play Champions League if Relegated

October 7, 2026 David Thompson Sports
News Context
At a glance
  • Key figures in English football administration are becoming concerned over the possibility that Manchester City might participate in the Champions League next term even if the team drops...
  • The panel ruled that City had inflated sponsorship revenues by around £830 million through sham contracts and concealed a further £90 million in costs.
  • If their appeal fails, City face a battery of harsh penalties, including points deductions, financial fines, transfer embargos, and potential expulsion from the Premier League.
Original source: goal.com

Key figures in English football administration are becoming concerned over the possibility that Manchester City might participate in the Champions League next term even if the team drops down out of the Premier League. An independent panel determined that the club was culpable for every single violation of the Premier League’s financial regulations spanning nine years, alongside most of the accusations regarding a lack of cooperation with the league’s inquiry.

The panel ruled that City had inflated sponsorship revenues by around £830 million through sham contracts and concealed a further £90 million in costs. Without those breaches, the commission concluded, City would have fallen foul of profitability and sustainability rules between the 2009-2010 and 2017-2018 seasons. The club deny all the charges and launched an appeal against the guilty verdict on October 1.

Potential Penalties and Relegation Risks

If their appeal fails, City face a battery of harsh penalties, including points deductions, financial fines, transfer embargos, and potential expulsion from the Premier League. Four clubs told BBC Sport that a one-hit points deduction would be insufficient, believing instead that a multi-season points deduction and a transfer ban stretching across multiple windows would be more fitting.

Manchester City lift up the Champions League trophy, as they are crowned Champions of Europe after the UEFA Champions League
Photo: BBC

Meanwhile, the appeal proceedings will run for a maximum of 12 weeks, with a verdict anticipated within 30 days after they wrap up. The sanctioning hearing to determine the exact level of punishment is yet to be scheduled.

The UEFA Licence Loophole

Even though domestic demotion or heavy sporting penalties loom over the club, high-ranking English football officials worry that City might retain their spot and continue competing in European tournaments during the upcoming season. This scenario could occur if City win this season’s Champions League or secure a berth through their league finish or cup competitions.

No automatic mechanism currently exists to bar City from European tournaments for which they qualify on merit. UEFA licences are issued by the Football Association—with the process delegated to the Premier League—based upon current information regarding financial performance. Because these licences do not take into account historical offences or sanctions, the legal grounds for refusing City a European licence remain unclear.

More on this story: Manchester City face scrutiny over 114 Premier League rule breaches · Premier League Clubs Face Suing Manchester City for Compensation

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