Leicester City will not be charged over their 2023-24 financial accounts in a major boost to their Premier League survival bid – but they are not out of the woods yet.

City have avoided a breach of Profit and Sustainability Rules (PSR) for the three-year period up to the end of June 2024 and it means Ruud van Nistelrooy's side are not currently facing a points deduction that could damage their fight to stay in the top flight. In fact, the none of their 20 Premier League clubs have been charged over last season's accounts.

However, City's dispute is not over. The Premier League have announced that they are still locked in "confidential arbitration proceedings" over City's 22-23 accounts. An appeal board found in City's favour in September, ruling that the Premier League did not have the jurisdiction to charge them as they were not a member club at the end of the financial year, having been relegated to the Championship. That decision is being appealed by the Premier League.

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In a statement, the Premier League said: “Issues as to the jurisdiction of the Premier League over Leicester City Football Club in relation to PSR compliance are currently the subject of confidential arbitration proceedings.

“Accordingly, neither the league nor the club will make any further comment at this stage about any aspect of the club’s compliance or otherwise with any of the PSR or related rules, save to say that no complaint has been brought against Leicester by the league for any breach of the PSRs for the period ending Season 2023-24.”

City had been in trouble over their 23-24 finances, with the EFL predicting they were on course to breach and placing them under a transfer embargo. However, City made £40m before the deadline in June – £30m for the sale of homegrown midfielder Kiernan Dewsbury-Hall and £10m in compensation for manager Enzo Maresca and his staff – and that was significant in ensuring their three-year losses were under the threshold.