Olympique Lyonnais have won their appeal against administrative relegation and will remain in Ligue 1 for the 2025/26 season, according to France 24.
Lyon were initially relegated to Ligue 2 by DNCG, French football’s financial watchdog, due to severe financial issues.
These included a debt of approximately €541 million and an inflated wage bill that threatened the club’s viability.
The DNCG’s decision to demote Lyon was upheld in June, but they challenged the ruling by presenting a revised financial plan and securing significant cash injections to stabilise the club.
The appeal hearing, held earlier today, resulted in the DNCG accepting Lyon’s new financial guarantees, including a €200m injection.
Half of the aforementioned amount has been blocked as a reserve to ensure the club’s operational stability throughout the season.
This financial restructuring, along with changes in club leadership, most notably the departure of John Textor as president and the arrival of Michele Kang, helped restore confidence in Lyon’s future.
Lyon’s president expressed gratitude for the decision, emphasising the club’s commitment to responsible management and sporting ambitions.
The ruling allows Lyon to focus fully on preparing for the upcoming season domestically and in Europe, as they are expected to retain their place in the Europa League.
Despite the positive outcome, Lyon face strict financial controls imposed by the French Football Federation, including limits on wage bills and transfer spending.
The club must also pay a €50m fee and a €12.5m fine related to UEFA’s financial fair play regulations to participate in European competitions.
Lyon’s appeal success has broader implications for Crystal Palace, who qualified for the Europa League by winning the FA Cup but face uncertainty over their participation due to multi-club ownership rules.
