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Leicester City loophole closed by Premier League – this is what it means for promoted clubs

Related Topics: Leicester City, Premier League

The Premier League has moved to close potential spending sanction loopholes for relegated or promoted clubs following legal battles with Leicester City.

A tightening in the wording of the rules now stipulates allowable losses for applicable years in which a team may have been in the Championship.

There is also a clarification that a relegated club will “remain bound” by the rules “until such time as it has complied with all of its obligations relating to its last season” in the top tier.

The tweak, which is confirmed in the new Premier League handbook published last week, is intended to clamp down on clubs attempting to avoid spending sanctions if they have not been a top tier club for an entire three-year reporting period.