Days after Manchester City went to war with the Premier League by alleging “discrimination” related to the Associated Party Transaction (APT) rules, another top-tier club is expected to follow suit. Man City sued the league over APT rules that were introduced in December 2021 and revised in January 2024. 

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Aston Villa is believed to be the second club, planning to launch legal action. Nassef Sawiris, Egypt’s richest man and the billionaire owner of the club, said existing regulations on spending capped the ‘ambitious owners’ from challenging the established elites – referring to the likes of Liverpool, Manchester United and Arsenal.   

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“Some of the rules have actually resulted in cementing the status quo more than creating upward mobility and fluidity in the sport. The rules do not make sense and are not good for football,” Sawiris was quoted as saying by Financial Times. 

“Managing a sports team has become more like being a treasurer or a bean counter rather than looking at what your team needs. It’s more about creating paper profits, not real profits. It becomes a financial game, not a sporting game,” he added. 

Aston Villa finished fourth in the Premier League last season and secured a place in the UEFA Champions League after a lengthy hiatus. However, to sustain at the top level, Villa hierarchy argues that it needs to pump more money to refresh the squad which the current rules make difficult. 

What did Man City do?

On June 4, it was revealed that City had gone after Premier League to challenge the revision of the APT rules.  

City have argued that an independent commission should not evaluate the sponsorship deals. The hearing started on June 10 and is expected to last till June 21. 

If the club is successful in the case, it would mean that City, owned by UAE’s vice president, could pump as much money into it using companies from the Gulf, already connected with the royal family.

It will also set precedent for other clubs with rich owners, private equity firms and sovereign wealth funds to put inflated amounts of money into the club, thereby breaking the entire Premier League system. 

The success that City manager Pep Guardiola has achieved on the field has been smeared with a little asterisk next to it. Apart from setting the stage for a civil war, City are also accused of providing inaccurate financial information between 2009 to 2018, leading to breach of 115 Financial Fair Play (FFP) rules. 

While the likes of Everton and Nottingham Forest have been punished this season for breaching Profit and Sustainability Rules (PSR), City are yet to face any action.

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