Manchester City could be forced to deal with a significant loss in sponsorship revenue if the guilty verdict for alleged financial breaches remains unchanged. News emerged on Friday that City had been found guilty of 114 of the 115 charges that were presented to the club by the Premier League back in 2023.
Three years after City were first charged by the Premier League, City face the prospect of a potentially significant punishment after being found guilty. The club have always maintained they are innocent, and will launch an appeal on the guilty verdict.
Potential sanctions and sponsor concerns
Questions remain over the full scale of potential sanctions City might face should the guilty verdict stand, with consequences ranging from fines and points deductions to expulsion from the top flight, alongside the possibility of previous titles being removed.
According to The Telegraph, City now face the prospect of losing substantial sums through sponsorship deals if the guilty verdict is maintained. Several of City's commercial partners are understood to be "examining" existing agreements with the club, should relegation materialise as a consequence of the charges.
The report suggests that certain City sponsors may possess contractual rights to renegotiate terms should the club drop out of the Premier League, potentially leading to significant revenue losses. Should City face relegation from the Premier League, the club would likely be excluded from next season's Champions League, resulting in the loss of substantial financial bonuses associated with participation in Europe's premier club tournament.
Club chairman's statement
City chairman Khaldoon Al Mubarak released a statement on Saturday addressing reports suggesting the club had been found guilty of the charges, reaffirming his unwavering belief in the club's innocence.
"I have been part of this Club for 18 years. I have had the privilege to stand with you in the Etihad, at Wembley, and in Istanbul," he said. "This club matters to me, and you have shown and told me - time and time again - how much Manchester City matters to you. This is why I am writing to you today.
"Following Friday's media reporting, many of you will have spent your evening answering questions and responding to messages from friends, family and colleagues. So have I. Here's what I said to my family: The Premier League process still has a long way to run, and our confidence and intent in proving the Club's innocence is just as strong as when this began."
"There are so many things that I would like to be able to share with you to help you understand why we feel so confident in our position. But the strict confidentiality of the legal process and our determination to respect it means I cannot do that at the moment. Even this letter underwent several legal checks to make sure it complies."
"I ask you to please carefully read the statement below, which we gave on Friday, and the statement we issued in February 2023. Every word matters and holds true. While some people have been quick to reach their own conclusions, and there is so much noise swirling around us, nothing has changed. We have faced challenges together before and have prevailed. There remain many who want to undermine the momentum of our Club. We will not give them that opportunity."
"We have some exciting moments to look forward to after this international break. We travel to Anfield in a fortnight, and then host Paris St Germain in the Champions League back at Etihad Stadium - moments that give us an opportunity to celebrate the strength of the Manchester City family. Thank you, as always, for your constant support."
Club's official response
In response to Friday's update, City issued a statement which read: "The Premier League process remains ongoing, with significant elements to be completed, and subject to strict confidentiality. As such Manchester City FC's position remains consistent with the Club's statement of February 2023."
"The Club has diligently respected due process for eight years on the basis that the Premier League Board and Executive would behave as an independent, impartial and fair-minded regulator, free from partisan influence."
