LATEST NEWS: “According to my comprehension,” – Phil Hay provides an update on Leeds United’s Performance Summary Rating amidst concerns about Leicester City.

Potential point deductions loom for certain Championship clubs in the near future.

Sky Sports has reported that Leicester City could face a points deduction in the upcoming season for violating the Premier League’s Financial Fair Play (FFP) regulations. These regulations permit clubs to incur losses of up to £105 million over a three-year period, but Sky Sports anticipates that Leicester’s financial accounts will reveal a breach of this threshold. The punishment could be imposed as soon as next week.

In contrast to Everton and potentially Nottingham Forest, Leicester City would receive their penalty in the following season. This expedited handling of financial breaches was decided upon at the Premier League’s Annual General Meeting (AGM) last season. However, since Leicester was relegated last season, these new regulations do not apply to them.

According to Sky Sports, regardless of the league they compete in, Leicester City could commence the 2024/25 campaign with a negative points balance.

Leicester’s potential financial misconduct has raised concerns among their Championship rivals, with allegations of breaching financial regulations. Leeds United, who were relegated alongside Leicester last season, also face scrutiny regarding their spending. Phil Hay, writing for The Athletic, has provided an update on the financial status at Elland Road.

Phil Hay’s Leeds United PSR update

The journalist appeared on the Square Ball podcast, discussing Leeds United’s Performance Summary Rating (PSR) situation.

“As far as I understand, without detailed scrutiny of the accounts or calculations, Leeds have consistently adhered to PSR regulations,” stated Hay.

“I don’t believe they’ve exceeded the threshold by a significant margin, but based on information I received, the expedited Sinisterra deal with Bournemouth was partly aimed at injecting funds to remain within compliance.”

“We’ve been consistently informed that we’ve remained within compliance. However, it’s no secret that if Leeds fail to secure promotion this season, they’ll need to tighten their financial belt and ensure the books are balanced.”

Promotion to the Premier League is imperative for the growth of Leeds

If the Whites secure either of the top two positions in the league or emerge victorious in the playoffs, they stand to gain a significant revenue boost, estimated between £135 million and £265 million according to Deloitte. These projections assume that the promoted team maintains its Premier League status beyond the first season.

Regardless of their ability to retain top-flight status, a return to the Premier League would provide substantial financial benefits, as referenced by Hay. The influx of funds from television rights deals and other advantages associated with being among the top 20 teams in English football would greatly aid the club.

With only 10 games remaining, Leeds currently trail behind Leicester and Ipswich Town, who occupy the automatic promotion places, by two points.

Even if they fail to secure one of the top two spots, Leeds are currently favored to maintain the top position in the playoff race, setting them up to face the team finishing in sixth place in the Championship. This was the path taken by Luton Town to reach the Premier League last season.

Achieving promotion this season would offer Leeds the optimal opportunity to solidify their status as a Premier League team once again. However, if this opportunity slips away, they could potentially find themselves trapped in the second tier for an extended period.