Chelsea Football Club is facing potential sanctions from UEFA after breaching financial loss limits, with the European governing body reportedly unwilling to recognize the £200 million sale of their women’s team to a sister company as legitimate income.
The London club is currently in discussions with UEFA regarding appropriate penalties, which are expected to include a fine and implementation of a spending plan. According to reports from The Times, the final settlement between Chelsea and UEFA should be announced in May. The governing body has indicated that continued financial violations could result in more severe consequences, including a possible ban from European competitions.
This financial maneuver follows a pattern for Chelsea, who previously sold hotel assets to another sister company within their corporate structure. While the Premier League and UEFA operate under different financial regulations regarding related-party transactions, UEFA’s stricter approach limits losses to £170 million over a three-year period. The removal of the £200 million women’s team sale from income calculations pushes Chelsea beyond this threshold.
Despite these off-field challenges, Chelsea’s sporting performance remains strong. The team currently sits fourth in the Premier League, positioning them for Champions League qualification next season. They’ve also enjoyed success in European competition this season, advancing to the UEFA Conference League quarter-finals after defeating FC Copenhagen in the round of 16.