The Premier League could face a serious reputation crisis as its ongoing legal battle with Manchester City threatens to have widespread consequences, impacting not only the league but its rival clubs as well.
Premier League clubs are now being warned about the potential fallout from this escalating “civil war” with Manchester City, which could end up costing them dearly. An increasing number of teams are backing City’s challenge to the Associated Party Transaction (APT) rules, which an independent tribunal recently deemed non-compliant with UK competition law.
This legal wrangling is separate from the 115 allegations Manchester City is facing regarding inaccurate financial disclosures, a case that has been ongoing for weeks and is expected to last several months. Meanwhile, teams like Everton and Nottingham Forest have already felt the sting of Profit and Sustainability Rule breaches, with point deductions last season.
Simon Leaf, a sports lawyer and partner at Mischon de Reya, has warned that the financial and reputational damage could extend beyond the courtroom, hitting the league’s attractiveness to broadcasters and sponsors. He cautioned: “If the Premier League is seen fighting constant legal battles with its member clubs, it does serious damage to the brand.”
The Premier League, long hailed as the pinnacle of global football, may now find itself in a precarious position. Leaf continued, “Sponsors and broadcasters might think twice about associating with a league mired in courtrooms rather than on the pitch. There’s a real risk that they’ll be more tempted to partner with La Liga or other leagues instead.”
With the Premier League raking in over £3.5 billion annually from global TV rights and an upcoming domestic deal worth £6.7 billion kicking in soon, the stakes couldn’t be higher. The damage from these ongoing battles may not be immediate, but in the long run, it could reshape the landscape of football broadcasting and sponsorship.