Manchester City has strongly criticized the Premier League’s Associated Party Transaction (APT) rules, accusing them of giving an unfair financial advantage to clubs like Arsenal, Brighton, Everton and Leicester City.
The APT rules, introduced in 2021, are meant to ensure commercial deals between clubs and related parties are made at fair market value. However, City argues these rules failed to properly regulate shareholder loans, which allowed certain clubs to avoid financial losses that could have breached spending limits.
City took legal action in 2024 after they were stopped from signing sponsorship deals with Etihad, a company linked to their owners. A tribunal later ruled that the APT rules were legally invalid. City now claims that any amendments made to these rules are also void.
At the heart of City’s complaint is that wealthy club owners were able to give large loans to their teams without any oversight, something City says unfairly distorted competition. Arsenal reportedly received £259 million through shareholder loans in 2022/23, while Everton, Brighton and Leicester also benefited with similar amounts in earlier seasons.
City insists these actions, though allowed under existing rules, created an uneven playing field. They argue that all clubs should return to the system used before the APT rules and that new, fairer regulations should be created.
While this dispute is separate from the 130 financial charges already facing City, it adds to the legal tension between the club and the Premier League. The cost of this case could also reduce the league’s resources for handling future legal battles.
