Last month, Olympique Lyonnais and Manchester United competed in one of the most exciting ends to a Europa League quarter-final in the competition’s history. Harry Maguire may have broken the hearts of Lyon fans on that Thursday night in April, but it is looking increasingly likely that it will pale in comparison to the potential issues faced by the club at the end of the season.
Financial Crisis & Provisional Relegation
The French giants were handed provisional relegation to the second tier in November and received a transfer ban due to accumulating over €500 million in debt. It was highlighted then that qualification for the Champions League could help alleviate some of the pressure on the club. Although this now seems unlikely. Les Gones currently sit seventh in the Ligue 1 table, three points behind Nice, who occupy the final qualifying spot with just one game to play.
Not only is there a prospect of missing out on the Champions League, but the side could miss out on all European football, depending on results. Should they miss out on European competition, the club faces a serious risk of relegation. In November, it was reported that Lyon would need around €100m (£91m) in revenue to escape their current punishments. Without the money from Europe, this could be a virtually impossible task.
The provisional relegation prompted them to part ways with some of their highest earners in January. Ex-Premier League players Wilfried Zaha and Saïd Benrahma departed with eight other first-team players. Other notable permanent departures included Maxence Caqueret to Como for €15m and Gift Orban’s €10m transfer to Hoffenheim.
L’Équipe reported that these winter sales, along with the summer exits of Orel Mangala and Dejan Lovren, had freed up an estimated €1.7m (excluding charges) from their wage bill. But if they miss out on European competition, they will likely have to continue thinning their wage bill.
A Fire Sale on the Horizon?
They will save money on captain Alexandre Lacazette’s contract, which expires at the end of the season. He reportedly earns €115,385 a week. But the club will likely still need to offload high-earners such as Rayan Cherki, Malick Fofana, Ernest Nuamah, Nemanja Matic, and Corentin Tolisso.
Cherki has already started attracting interest from other sides. Premier League clubs Liverpool, Manchester City and Tottenham Hotspur have reportedly enquired about signing the 21-year-old Frenchman. Who has impressed this season, with 12 goals and 19 competitive assists?
Premier League clubs could look to Lyon in the summer transfer window to pick up players to strengthen their squad cheaply.
Since promotion to the top flight in 1989, Lyon has not returned to the second-tier. The club has also been one of the most successful in France, having won Ligue 1 seven times, with their last title coming in 2008. The club has also won the French Cup five times and the French League Cup in 2001. It would be a real shame to see a side featured in the Champions League semi-finals as recently as 2020 forced out of Ligue 1 due to financial mismanagement.
The club is at serious risk of the DNCG’s administrative relegation, forcing the club down. They have to convince French football’s financial watchdog that the situation has improved since the initial provisional sanction, without the prospect of revenue from the Champions League, this seems like a difficult task.
Even if they qualify for European football, The Guardian reported that UEFA is concerned about the ongoing situation and may prevent Lyon from taking part in European competition next season if they qualify. There are rumours in France that UEFA will sanction the club but ultimately allow it to compete in Europe. However, nothing is certain.
What is certain is that Lyon desperately needs a victory in their final fixture on Saturday to stand a chance of qualifying for the Champions League and saving their place in France’s premier division.
