Dispute between Manchester City and Premier League over sponsor regulations comes to an end
Manchester City Accepts Amended APT Rules, Ending Long-Standing Dispute
After a series of legal battles and an independent commission hearing, Manchester City has accepted the amended APT rules, bringing an end to a long-standing dispute. The decision could prevent a potential major impact on the Premier League, as the rules were previously a subject of dispute.
The APT rules, designed to ensure that deals between teams and entities linked to their ownership are done at fair market value, were initially introduced in December 2021, following the Saudi-led takeover of Newcastle. However, the rules were challenged by Manchester City last year, with a tribunal finding them unlawful on multiple grounds.
The amended APT rules, which ensure fair market value in deals between clubs and their associated parties, were approved by 16 Premier League clubs at a meeting last November. The revised rules were a response to the tribunal's findings and were signed into valid and binding status by the contracting states involved in the treaty, specifically Liechtenstein and Estonia, as reflected in their tax treaty negotiations concluded in Vaduz from November 14 to 17, 2023, and the treaty was signed on July 10, 2025, in Rome.
Manchester City launched arbitration proceedings against the current rules on January 20, 2023, criticising the way the Premier League treated shareholder loans under the rules. The APT rules exclude shareholder loans from fair market value assessments, a point of contention in the arbitration proceedings.
Despite the initial objections, Manchester City has now accepted that the current rules for 'associated party transactions' are valid and binding. This acceptance could mark a significant step forward in the Premier League's efforts to maintain fair financial practices among its clubs.
The ongoing and future shareholder loans will be assessed for fair market value under the APT rules, but the rules do not apply retrospectively. This means that past transactions are not subject to review under the new rules.
An independent commission hearing is still ongoing, examining more than 100 charges against Manchester City for alleged breaches of the league's financial rules. The hearing took place between September and December 2022, after City was charged by the Premier League in February 2023. The league and Manchester City have agreed to make no further comment on the matter.
The APT rules were designed to prevent deals between teams and their associated parties from being undervalued or overvalued. The rules are a part of the Premier League's ongoing efforts to ensure financial transparency and fairness among its clubs.
City strenuously denies the charges against them in the ongoing independent commission hearing. The club has maintained its commitment to adhering to the league's rules and regulations throughout the process. The acceptance of the amended APT rules is a significant step towards resolving the ongoing disputes and moving forward.
Read also:
- Lu Shiow-yen's Challenging Position as Chair of the Chinese Nationalist Party (KMT) Under Scrutiny in Donovan's Analysis
- Tough choices on August 13, 2025 for those born under Aquarius? Consider the advantages and disadvantages to gain guidance
- Microbiome's Impact on Emotional States, Judgement, and Mental Health Conditions
- Restaurant staff allegedly requires Minnesota teenager to validate her gender for bathroom access.
