At least six Premier League clubs reportedly have to make significant player sales before the end of the month. While the English top fight is currently in the offseason, the 2023/24 financial year does not end until June 30th. All Premier League clubs must adhere to the current profit and sustainability rules (PSR) in place. Nevertheless, six clubs are now on the cusp of breaching these laws.

According to Sky Sports, Chelsea, Aston Villa, Newcastle, Everton, Nottingham Forest, and Leicester City are all under threat. The exact financial details of each team are unknown. The news outlet, however, claims that the six are dangerously close to the loss limit.

PSR currently states that English clubs cannot record more than $134 million in losses over three years. Everton and Forest have already been found guilty of breaking these financial laws. The two teams were both docked points during the 2023/24 campaign. Despite the penalties, the duo avoided potential relegation to the Championship.

All six of these clubs currently have players rumored to be on the way out. Chelsea, for instance, could sell Conor Gallagher in the coming weeks. The midfielder, supposedly rated at around $63 million, is a homegrown talent and would represent a pure profit. Villa could also have to part ways with Brazilian Douglas Luiz. Several teams are interested in Newcastle‘s Bruno Guimaraes and Everton’s Jarrad Branthwaite is arguably their prized asset.

Chelsea, Newcastle, Villa supposedly joining forces with Man City

Interestingly enough, three of these teams at financial risk are reportedly siding with Manchester City in their lawsuit against the Premier League. The English champions are launching legal action due to the division’s Associate Party Transaction (APT) laws. Officials from the club claim that they are victims of discrimination as well.

Mail Sport is reporting that Chelsea, Newcastle, and Villa are supposedly joining forces with City in the suit. APT rules are in place to create a more financially level playing field in the Premier League and help manage player sales. The law essentially bans teams from making commercial deals with businesses already connected to club ownership. It also limits player transfers between teams under the same umbrella.

The report claims that Villa co-owner Nassef Sawiris, the richest person in Egypt, is close with City chairman Khaldoon Al Mubarak. Newcastle is also in a similar situation as City. The English champions are owned by the Abu Dhabi United Group, which is connected to the actual government of the United Arab Emirates. Similarly, Newcastle is majority-owned by Saudi Arabia’s Public Investment Fund.

Chelsea does not have direct ties to the Middle East. Nevertheless, the Blues now have a sponsorship deal with Infinite Athlete. The company currently lists club co-owners Todd Boehly and Behdad Eghbali as direct investors.

Legal battles creating division in the Premier League

Officials put more laws in place, more clubs will fight to flex their financial muscle. Premier League officials are attempting to limit the disparity between their teams. The English top flight, however, is not the only governing body that makes clubs adhere to certain financial rules.

Teams competing in UEFA’s continental competitions also have to comply with financial fair play (FFP). If clubs cannot control their spending, UEFA will ban them from tournaments. Juventus was most recently barred from the Conference League during the most recent campaign.

The outcome of the pending lawsuit by City will certainly be interesting. Assuming they were to win their fight, it could very well change the entire financial structure of the league. It would also seemingly help the club in their other legal battle regarding 115 financial charges. City will face a plethora of charges in November.