Manchester City settle Premier League dispute over commercial rules

Manchester City have reached a settlement with the Premier League in their arbitration case concerning the rules on ‘associated party transactions’ (APT).

The club confirmed on Monday that they now accept the amended APT regulations, introduced in November, as “valid and binding.” The rules ensure commercial deals with entities linked to club owners are conducted at fair market value to prevent inflated revenues that could distort the league’s profitability and sustainability framework.

City launched arbitration in January, challenging the interpretation of APT rules, particularly around shareholder loans. A year earlier, the club had successfully argued that the previous framework was unlawful because it excluded such loans from fair market assessments. The Premier League subsequently consulted its members, with 16 clubs voting to approve the amended version last November.

The revised rules now include shareholder loans in fair market value assessments but apply only to ongoing and future arrangements.

Both City and the league have agreed to make no further comment on the settlement.

Separately, City continue to await the outcome of an independent commission’s investigation into more than 100 alleged breaches of financial regulations. The case was heard between September and December 2024, with City vigorously denying all charges.

(Source: AFP)