Premier League clubs have approved amendments to the Associated Party Transaction (APT) rules, aimed at ensuring sponsorship deals with entities linked to club ownership reflect fair market value. The changes, approved on Friday with a 16-4 majority, come despite opposition from champions Manchester City and other clubs, including Newcastle United, Aston Villa, and Nottingham Forest.
Manchester City had previously challenged the APT rules, arguing that they violated competition law. The club claimed that a tribunal found the Premier League had abused its dominant position. However, the league countered that City’s challenge was largely unsuccessful, emphasizing that the tribunal upheld the necessity and legitimacy of the APT rules.
Under the amended regulations, shareholder loans will now be classified as APTs, requiring compliance with fair market interest rates. The Premier League stated that the changes were designed to address the tribunal’s findings while preserving financial stability, integrity, and competitive balance within the league.
City’s opposition to the changes comes amid scrutiny of their financial practices, including 115 historical charges for alleged breaches of financial regulations. Rivals have long questioned the legitimacy of sponsorship deals from Abu Dhabi-linked companies since Sheikh Mansour’s 2008 takeover of the club.
The decision also drew criticism from Newcastle United, whose Saudi Public Investment Fund-backed ownership has expressed frustration over restrictions hampering their ambitions. Aston Villa owner Nassef Sawiris called for a postponement of the vote to achieve unanimity, but the proposal was rejected.
In a statement, the Premier League defended the rule amendments, emphasizing their role in maintaining a level playing field and ensuring clubs do not gain an unfair advantage through associated party deals. Despite the opposition, the changes signal the league’s commitment to tightening financial oversight and safeguarding its competitive framework.
