Any idea what this means in plain English

P

Paddysfoxes

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Today (Wednesday 6 March) the EFL has published a decision of the Club Financial Reporting Panel (CFRP), which confirms that the EFL’s Club Financial Reporting Unit (CFRU) acted outside of its powers in its dealings with Leicester City in November 2023.

Although the Club is pleased that the CFRP’s decision found in its favour, it is concerned that it was necessary for the CFRP to intervene in this way to prevent the CFRU from acting outside of established EFL rules.

Leicester City confirms it is in discussions with the football authorities regarding its profitability and sustainability calculations. Notwithstanding the CFRP’s decision, the Club remains committed to seeking an appropriate overall outcome in this matter.
 
Who are the losers in all this ?
Us the fans.
Everton, Forest and others, we all have one thing in common we are passionate about our football teams.
Whilst it's the norm to spit venom towards a local rival I quite frankly am appalled at the current rules regarding FFP.
There can't be any possible way surely that the income from clubs like Man City and Chelsea can sustain their monstrous outlay on recruitment.
Until recently Man City couldn't have sold a shirt outside of Lancashire.
Chelsea likewise, and they only have stadium of 40k, smaller than Newcastle, Sunderland, and West Ham, so their match day revenue can't be anything special next to other clubs.
Only Man United and to a lesser extent Liverpool are worldwide brands.
It all completely sucks.
Whilst like any Leicester fan I don't have a love of Forest, but I can see that the authorities with their rules and regs are killing all the hopes of clubs that dare to dream.
As it stands it's completely farcical and damaging the game in order to protect the elite few.
I wish some kind of monopolies commission would step in and show up the fraudulent nature of it all, but it won't happen.
They want to keep us under strict control.
 
Brauny said:
Who are the losers in all this ?
Us the fans.
Everton, Forest and others, we all have one thing in common we are passionate about our football teams.
Whilst it's the norm to spit venom towards a local rival I quite frankly am appalled at the current rules regarding FFP.
There can't be any possible way surely that the income from clubs like Man City and Chelsea can sustain their monstrous outlay on recruitment.
Until recently Man City couldn't have sold a shirt outside of Lancashire.
Chelsea likewise, and they only have stadium of 40k, smaller than Newcastle, Sunderland, and West Ham, so their match day revenue can't be anything special next to other clubs.
Only Man United and to a lesser extent Liverpool are worldwide brands.
It all completely sucks.
Whilst like any Leicester fan I don't have a love of Forest, but I can see that the authorities with their rules and regs are killing all the hopes of clubs that dare to dream.
As it stands it's completely farcical and damaging the game in order to protect the elite few.
I wish some kind of monopolies commission would step in and show up the fraudulent nature of it all, but it won't happen.
They want to keep us under strict control.
Click to expand...
can we take 10 off Forest first though !
 

Leicester face summer of player sales or risk points deduction – even if promoted​

Exclusive: Leicester expected to exceed permitted losses of £83 million over three-year period

John Percy6 March 2024 • 7:47pm

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Leicester City are under pressure to sell players this summer even if they return to the Premier League, as they fight to avoid breaching financial rules.
Championship leaders Leicester have been plunged into a potential financial crisis after it emerged that they are expected to fail profitability and sustainability rules (PSR) after racking up heavy losses.
Relegated from the Premier League last season, Leicester are forecast to comfortably exceed the permitted losses of £83 million over a three-year period. Premier League losses are £105 million but Leicester’s allowance is lower as for this campaign they are a Championship club.
Last year they announced record losses of £92.5 million for the 2021-22 season, and it is understood that latest financial accounts are also likely to report a heavy deficit when they are announced this month.
The key point is how much Leicester’s losses were in the 2022-23 season when they were still in the Premier League.
On Wednesday it emerged that the Football League had failed in an attempt to put the club under a business plan after financial information submitted in November raised serious concerns.
Leicester successfully argued that the rule did not apply as they were a Premier League club last season. Nick De Marco KC, a leading sports lawyer, is believed to have compiled the club’s defence.
It is understood Leicester have argued that the EFL has no legal grounds to circumvent their own regulations to fast-track sanctions.
Leicester had to submit their accounts by March 1 and are aware they have to raise significant funds before the end of June this year.
Last summer they sold James Maddison to Tottenham for £40 million before the end of the financial year and will be in a similar predicament even if Enzo Maresca guides the club to promotion.
Leicester are still in the FA Cup and could raise money from further progress in the competition while a number of players, including Jamie Vardy, Kelechi Iheanacho, Jannik Vestergaard and Wilfred Ndidi are out of contract at the end of the season.
In a statement, Leicester said: “Today the EFL has published a decision of the club financial reporting panel (CFRP), which confirms that the EFL’s club financial reporting unit (CFRU) acted outside of its powers in its dealings with Leicester City in November 2023.
“Although the Club is pleased that the CFRP’s decision found in its favour, it is concerned that it was necessary for the CFRP to intervene in this way to prevent the CFRU from acting outside of established EFL rules.
“Leicester City confirms it is in discussions with the football authorities regarding its profitability and sustainability calculations. Notwithstanding the CFRP’s decision, the Club remains committed to seeking an appropriate overall outcome in this matter.”
Leicester’s nine-year spell in the Premier League ended last year when they finished third bottom.
Owned by Thailand duty free company King Power, Leicester are top of the Championship by three points.
 
It would be rather a sad way for JV's incredible career to end with us just because the powers that be want to put us back in our box.
Make the most of JV because you are seeing the last of him in a Leicester shirt.
Imo our greatest legend.
 
The accounts for 22/23 I think were extended to year end June 30th
They will include the sale of Maddison, Barnes and maybe Castagne and Fofana
If all them are included there is going to be a big profit on sale , £40 million on Bernes
alone because he is home grown Could be around the same for Fofana and a decent profit
on Maddison and Castagne
There is a lot of froth being blown about 😀
 
I still can't make any sense of this paragraph -

Although the Club is pleased that the CFRP’s decision found in its favour, it is concerned that it was necessary for the CFRP to intervene in this way to prevent the CFRU from acting outside of established EFL rules.
 
Whuru said:
The accounts for 22/23 I think were extended to year end June 30th
They will include the sale of Maddison, Barnes and maybe Castagne and Fofana
If all them are included there is going to be a big profit on sale , £40 million on Bernes
alone because he is home grown Could be around the same for Fofana and a decent profit
on Maddison and Castagne
There is a lot of froth being blown about 😀
Click to expand...
Barnes was sold outside that period according to some on FT.
 
Elsie Heffsey said:
I still can't make any sense of this paragraph -

Although the Club is pleased that the CFRP’s decision found in its favour, it is concerned that it was necessary for the CFRP to intervene in this way to prevent the CFRU from acting outside of established EFL rules.
Click to expand...
It's a bit like a governing body having to step in because one of its sub committees was about to make a fuck up.
 
Elsie Heffsey said:
I still can't make any sense of this paragraph -

Although the Club is pleased that the CFRP’s decision found in its favour, it is concerned that it was necessary for the CFRP to intervene in this way to prevent the CFRU from acting outside of established EFL rules.
Click to expand...
The EFLs finance police (cfru) told us we were naughty.

We appealed to an independent grown up (cfrp) who told the police to get back in their box, as it's not their place to investigate us.

We then decide to annoy the police further by posting a statement saying we are concerned with their behaviour. You'd think we would tread a bit more carefully...
 
What about CPFC where do they come into it?


If we broke the rules then we deserve to be punished like the rest, however would we have stayed up if a Everton or Forest, or others had not also broken the rules?

And like others have mentioned, if Chelsea and/or Man City have consistently broken the rules for years where are their sanctions? Would we have finished in the top four in those two seasons had they played by the rules?

I’m certain there will be others too. This is just the beginning.

We have no assets to sell, nothing that’ll generate much by way of income. Are we due a new sponsorship deal on the stadium? Or a new shirt sponsorship deal?

@buz_not_buzz seems to know the most about this.
 
I might be getting this all wrong but in terms of the detail I find it interesting that the statements specifically mention rule 2.9 which is about financial forecasts made in the current year (T) showing that we'll exceed the 3 year upper thresholds in one or both of the next two years (T+1 & T+2). That they also mention it is in relation to 2023/24 (T) would seem to indicate that the CFRU have in effect arbitrarily changed rule 2.9 by comparing 3 year losses up to & including T with the upper threshold (£83m) as well. It & the fact that LCFC are "discussing" P&S calculations with them would also seem to indicate (as has been reported) that the EFL feel we may well exceed the upper threshold this season depending on how things go but I guess that is pretty much something that ends up getting dealt with in 2024/25 under rule 2.10 as before then the club and EFL will I expect be going back and forth on what is included and what isn't.

In terms of the timing and the CFRU appearing to jump the gun it is hard to escape the conclusion that there are those in the EFL who, despite the joint statement made at the time, have been waiting since the investigation into the 2013/14 promotion season & what they viewed as the transgression then to have another go and concerned that we might be viewed as "getting off" with it again if we get promoted and the forecast ends up being accurate.
 
All of this adds weight to the suggestion that we sent Casseidi back to Chelsea, rather than them recalling him, to save money and also why we didn't sign Sensi
 
buz_not_buzz said:
I might be getting this all wrong but in terms of the detail I find it interesting that the statements specifically mention rule 2.9 which is about financial forecasts made in the current year (T) showing that we'll exceed the 3 year upper thresholds in one or both of the next two years (T+1 & T+2). That they also mention it is in relation to 2023/24 (T) would seem to indicate that the CFRU have in effect arbitrarily changed rule 2.9 by comparing 3 year losses up to & including T with the upper threshold (£83m) as well. It & the fact that LCFC are "discussing" P&S calculations with them would also seem to indicate (as has been reported) that the EFL feel we may well exceed the upper threshold this season depending on how things go but I guess that is pretty much something that ends up getting dealt with in 2024/25 under rule 2.10 as before then the club and EFL will I expect be going back and forth on what is included and what isn't.

In terms of the timing and the CFRU appearing to jump the gun it is hard to escape the conclusion that there are those in the EFL who, despite the joint statement made at the time, have been waiting since the investigation into the 2013/14 promotion season & what they viewed as the transgression then to have another go and concerned that we might be viewed as "getting off" with it again if we get promoted and the forecast ends up being accurate.
Click to expand...
What I think the EFL has managed to do is tip everyone off just how desperate we may be to sell players before the end of June so that should really help with their respective valuations. Its sabotage.
 
Nomadic Fox said:
What I think the EFL has managed to do is tip everyone off just how desperate we may be to sell players before the end of June so that should really help with their respective valuations. Its sabotage.
Click to expand...
I agree though speaking personally there's only a few of players in the squad I'd be really unhappy to lose. But I guess it will come down to how much over the threshold we are that determines how bullish we can afford to be or how much it might resemble a fire sale. I feel it might not be the latter.
 
A points deduction in the Prem would see us come straight back down
A points deduction this season, take our chance in the play offs may be a better option
Thats if we have an option!
 
Paddysfoxes said:
Today (Wednesday 6 March) the EFL has published a decision of the Club Financial Reporting Panel (CFRP), which confirms that the EFL’s Club Financial Reporting Unit (CFRU) acted outside of its powers in its dealings with Leicester City in November 2023.

Although the Club is pleased that the CFRP’s decision found in its favour, it is concerned that it was necessary for the CFRP to intervene in this way to prevent the CFRU from acting outside of established EFL rules.

Leicester City confirms it is in discussions with the football authorities regarding its profitability and sustainability calculations. Notwithstanding the CFRP’s decision, the Club remains committed to seeking an appropriate overall outcome in this matter.
Click to expand...
In simple terms, know your place boy or else, the rich get richer whilst the poor get poorer and that’s destiny so be happy with what you’ve got because there’s always someone worse off than you, fair play applies to those who rule the roost the rest are second best and should comply without protest to the injustice of this system.
 
Thorney said:
A points deduction in the Prem would see us come straight back down
A points deduction this season, take our chance in the play offs may be a better option
Thats if we have an option!
Click to expand...
We won’t get a points deduction this season, there is not enough time to do this according to Rob Dorsett on Sky news
 
Nickj said:
We won’t get a points deduction this season, there is not enough time to do this according to Rob Dorsett on Sky news
Click to expand...
And even if we did get one this year, and then go up via the play offs, we'll still get one next year as well.

Seems we've really pissed off some influential people.
 
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