Premier League clubs get reality check over Man City 'civil war' cost amid £3.5bn agreement

Premier League clubs could face substantial financial repercussions from the internal conflict that has the potential to disrupt the league. According to Mirror Football, an increasing number of clubs are now backing Manchester City's move to challenge the legitimacy of the Associated Party Transaction (ATP) rules as unlawful.

This comes after an autonomous tribunal concluded that current regulations do not comply with UK competition law. City are currently embroiled in a separate dispute with the Premier League, contending against 115 accusations related to the provision of inaccurate financial details.

A case that initiated three weeks prior and is predicted to extend for a minimum of another two months. Furthermore, last season witnessed both Everton and Nottingham Forest lose points due to breaches of the Profit and Sustainability Rules (PSR) in two distinct yet costly legal confrontations.

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Simon Leaf, an expert sports solicitor at the international legal outfit Mishcon de Reya, foresees a hefty toll on the world's wealthiest domestic football league when it comes to future negotiations with broadcast partners and prospective sponsors. Speaking to Mirror Football, he said: "If the Premier League is seen fighting constant legal battles with its member clubs then that does serious damage to the brand.

"This is a league that is seen as one of the country's crown jewels. It is the envy of all the other leagues around the world. The damage might not happen overnight, but when the game is being played out in court rooms rather than on the pitch then it isn't the kind of thing that sponsors and broadcasters will want a piece of."

Leaf added: "There will be damage to the brand that you can't put a number on at the moment. It is often said that there is no such thing as bad news - but ultimately when it comes to external sponsors, especially from overseas, looking at who they want to partner with there maybe more of a temptation now to perhaps go with La Liga rather than the Premier League. A civil war like this really isn't good for business. It brings the Premier League into disrepute."

The Premier League currently rakes in over £3.5 billion annually from global TV rights. A new domestic deal with Sky and TNT worth £6.7 billion over four years begins next season. That's £2bn more than La Liga currently earns and nearly £3bn more than the Bundesliga.

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Manchester City wrapped up the 2023/24 season with a fourth successive Premier League title, but they missed out on another Treble with defeat in the FA Cup final and Champions League quarter-finals. It's now time for Pep Guardiola and co to turn their attention to the transfer window.

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