Manchester City Could Play In Champions League Even If Relegated

BBC Sport reported there is no automatic mechanism to block a club from UEFA competition if it qualifies on sporting merit, like winning the Champions League. An independent commission found City guilty of inflating sponsorship revenue by £830 million and hiding £90 million costs, but the club appealed last week.
Senior figures in English football are concerned that Manchester City could play in next season's Champions League even if they are relegated from the Premier League for financial breaches. The issue centres on the possibility of Manchester City winning the Champions League, which would allow them to qualify for the following season as holders regardless of their status in the English football pyramid.
According to a BBC Sport report, there is no automatic mechanism to prevent a club from competing in a UEFA competition if it qualifies on sporting merit. Naija News reports that an independent commission found Manchester City guilty of charges relating to the inflation of sponsorship revenue by £830 million through sham contracts, as well as concealing a further £90 million in expenses.
The commission said City would have breached the Premier League's profit and sustainability rules in all nine seasons from 2009-2010 to 2017-2018 without the alleged financial manipulation. Manchester City have strongly denied any wrongdoing and described the outcome as a"Premier League conspiracy".
The club lodged an appeal against the verdict last week. Senior figures are now concerned about whether City could retain their UEFA licence if the verdict is upheld and they receive a significant punishment.
One source said the issue of City's licence"had been raised"and that a solution"would require the sort of joined up thinking that's been a bit lacking so far". The Football Association issues UEFA licences, although the process is delegated to the Premier League.
Licences are assessed using current information and do not take historical sanctions or breaches into account. A club that meets all the minimum admission criteria cannot have its licence refused.
The main reasons for rejection include overdue payments to other clubs or players and outstanding tax liabilities. Match-fixing convictions within the previous 10 years and certain multi-club ownership conflicts can also affect eligibility, although neither applies to City.
A source added:"licences are awarded on the basis of current financial performance, so the grounds to refuse one are unclear". If City's appeal fails, the club could face severe sanctions, including a heavy points deduction, a substantial fine and transfer embargoes.