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Article continues belowArticle continues belowArticle continues below<script type="application/json" data-placement="fcplayer-semantic">{"type":"fcplayer-semantic","data":{"embedCode":"//cdn.fcp.codes/embed-code-template/embed-code-template.js#SEMANTIC_5704afb8-c10b-4ba5-9cb4-d7fb6098ef90"}}</script><ul><li>Leicester allegedly breach Premier League PSR rules</li><li>Will not be docked Championship points this season </li><li>Foxes may receive deduction in Premier League </li></ul>

Explained: Why Leicester will avoid points deduction this season despite allegedly breaking PSR rules - but they could be hit with sanctions upon return to Premier League

Premier League

Leicester

The Premier League's PSR rules have seen a lot of the headlines in the media this season amid a crackdown on breaches, with teams like <a href="https://www.goal.com/en-in/lists/everton-six-point-premier-league-penalty-former-financial-advisor-manchester-city/blt990245d910cdfaba" target="_blank">Everton</a>, <a href="https://www.goal.com/en-gb/lists/nottingham-forest-docked-four-points-breaching-premier-league-profit-sustainability-rules-blow-survival-hopes/blt2e1b73525c362f0d" target="_blank">Nottingham Forest</a> and <a href="https://www.goal.com/en-in/lists/sheffield-united-punished-premier-league-strugglers-hit-hard-by-points-deduction-but-there-s-a-catch/bltf6e3bc62af631df0" target="_blank">Sheffield United</a> being hit with points deductions. However, despite Leicester having allegedly breached the rules as well, they will not be docked points from their Championship tally due to legal restrictions.

WHAT HAPPENED?

After being charged for the breach last month, the <a href="https://www.goal.com/en-in/lists/leicester-city-placed-transfer-embargo-allegedly-breaching-profit-sustainability-rules-sue-premier-league-efl/bltf7627f372e1d238a" target="_blank">Foxes took up legal action against the English Football League (EFL)</a> by claiming that a points deduction in the Championship for their <a href="https://www.goal.com/en-in/lists/leicester-city-premier-league-angry-statement-points-deduction-profit-sustainability-rules/blt44f129e5218527d8" target="_blank">offenses in the Premier League would be unlawful</a>. Following the legal recourse, the EFL has now agreed that the limitations in the regulations will not allow them to dock points from the Championship league leaders.

THE EXPLANATION

In a statement, the EFL announced: "Having taken legal advice, the EFL has confirmed to all parties that whilst it would want to respect any decision of a Premier League disciplinary commission (and vice versa) to deduct points in the EFL, it does not have the power under the regulations as currently drafted."

WHAT THE EFL SAID

Earlier this month, <a href="https://www.goal.com/en-in/lists/trouble-brewing-leicester-foxes-confirm-staggering-financial-losses-points-deduction/blt0a6b3d8de8c1f0c9#csc5510c3a20e27a48" target="_blank">Leicester confirmed losses of £89.7 million ($112.7m)</a> for the 2022-23 season which took their total losses over the last three seasons, all of which they spent in the top-flight, to a total of £215m ($270.2m). The Premier League permits under £105m ($132m) of losses over a three-year period which <a href="https://www.goal.com/en-gb/lists/leicester-facing-points-deduction-next-season-foxes-financial-crisis/blt1e0bab3ce31431e2" target="_blank">brought around their breach of the PSR rules</a>.

DID YOU KNOW?

While the EFL cannot dock the Foxes' Championship points tally, the <a href="https://www.goal.com/en-in/lists/leicester-facing-points-deduction-next-season-foxes-financial-crisis/blt1e0bab3ce31431e2" target="_blank">Premier League will likely hit them with a points deduction</a> upon their return to the top-flight, which will likely be in the upcoming season with Leicester leading the charts in the Championship.

WHAT NEXT FOR LEICESTER?

Explained: Why Leicester will avoid points deduction this season despite allegedly breaking PSR rules - but they could be hit with sanctions upon return to Premier League | Goal.com South Africa

Leicester City have allegedly breached the Premier League&apos;s Profitability and Sustainability rules but will not receive a deduction this season.