Senior figures within the English game are concerned that Manchester City could play in the Champions League next season even if they are relegated for breaching financial regulations. It centres around the possibility that City win the Champions League, which would provide qualification for the competition as titleholders - regardless of their status in the English domestic pyramid. BBC Sport has been told that there is no automatic mechanism to remove City from a European competition they qualify for on sporting merit.
An independent commission found City guilty of all charges related to inflating sponsorship revenue by £830m by using sham contracts, as well as hiding other expenses worth an additional £90m. Without this, the independent commission said, City would have failed the profit and sustainability rules in all nine seasons between the 2009-10 and 2017-18 seasons. City continue to strenuously deny any wrongdoing, calling the outcome a "Premier League conspiracy".
Last week the club lodged an appeal against the verdict. BBC Sport has spoken to a number of senior figures with the game in recent days who are concerned about prospect of City qualifying for the Champions League next season. The feeling is that if City do not win their appeal and are therefore handed a strong sanction, then being allowed to compete alongside Europe's elite, and receiving the financial rewards which come with it, would not be acceptable.
The immediate issue surrounds the Uefa licence, which every club needs in order to play in Europe. 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 licences are issued by the Football Association, though the process itself is delegated to the Premier League.
The licences are based upon current information which does not take into account sanctions or breaches related to historical offences. If a club fulfils all minimum criteria required for admission, the licence cannot be refused. The key reasons a club may fail relate to overdue payables to other teams, players or outstanding tax liabilities.
Match-fixing convictions within the last 10 years, or a integrity conflict related to multi-club ownership, are considered but would not apply to City. A source added that "licences are awarded on the basis of current financial performance, so the grounds to refuse one are unclear". If the verdict is upheld by the appeal board is it likely City will face severe sanctions, which could include heavy points deductions, a large fine and transfer embargos.
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