LONDON: Manchester City have been found guilty of serious breaches of the Premier League’s financial regulations following a landmark independent commission ruling covering nine seasons between 2009-10 and 2017-18.
The Premier League confirmed on Tuesday that the independent commission found City guilty of all charges relating to the serious financial-rule breaches, as well as the majority of charges concerning the club’s alleged failure to cooperate with the league’s investigation.
The commission also found that Manchester City used what it described as “sham” commercial arrangements with sponsors as part of a disguised funding structure. According to the Premier League, the arrangements were designed to artificially increase the club’s reported revenues and reduce its reported costs by more than £900 million during the period under investigation.
‘Sham’ commercial agreements
The commission found that City had entered into commercial agreements that did not accurately reflect the underlying arrangements between the parties.
The Premier League said some sponsorship payments were partly funded by Abu Dhabi United Group Investment & Development Ltd (ADUG), the club’s owner at the time, while additional arrangements were used to reduce the operating expenses recorded in the club’s accounts.
The commission concluded that these structures enabled City to present financial figures that appeared compliant with Premier League and UEFA spending regulations.
It also found that the club filed misstated accounts and failed to disclose the true state of its finances to auditors and football regulators.
The commission’s findings put the value of the disputed Abu Dhabi-related funding recorded as sponsorship revenue at about £949.94 million, of which approximately £830.69 million was identified as funding from ADUG rather than the sponsors’ base payments.
City accused of obstructing investigation
The commission also ruled against Manchester City on most of the allegations concerning its conduct during the Premier League’s four-year investigation.
According to the league, three of four alleged breaches relating to City’s duty to cooperate and act in good faith were upheld. The commission concluded that the club had made efforts to obstruct or frustrate the investigation.
Premier League chief executive Richard Masters described the case and the ruling as the most significant disciplinary matter in the competition’s history.
No sanction announced yet
Despite the guilty findings, Manchester City have not yet been given a sporting or financial punishment.
The Premier League said the question of sanctions will be considered separately by the independent commission at a further hearing. Details of that process will remain confidential until publication of the outcome is permitted.
Potential consequences have been widely discussed, including points deductions and other sporting penalties, but no specific punishment has been confirmed by the Premier League at this stage.
Manchester City to appeal
Manchester City have rejected the findings and have indicated that they will appeal the commission’s decision.
The club has until October 2, 2026, to lodge its appeal. The appeal process means the dispute is likely to continue beyond Tuesday’s ruling.
The case now moves into another phase, with the sanctions hearing and City’s appeal still to be resolved. Until those processes are completed, there is no confirmed decision on any impact the verdict may have on Manchester City’s current Premier League status or previous honours.
