Lyon demoted to Ligue 2 over finances

French football club Lyon has faced demotion to Ligue 2 due to serious financial difficulties, marking a significant downturn for a club that has historically been a dominant force in French football. The decision was made by the DNGC, the regulatory body responsible for overseeing the financial health of professional football clubs in France, which provisionally demoted Lyon in November. Despite efforts from club officials, including owner John Textor, to demonstrate improvements in their financial standing, the DNGC concluded that the club had not made sufficient progress to warrant lifting the sanctions. Lyon's financial woes are stark, with the Eagle Football Group, which Textor leads, reporting debts amounting to £422 million last October. In a bid to stabilize the finances, Lyon has taken measures such as selling key players, including Maxence Caqueret to Como and Rayan Cherki to Manchester City, generating around £45 million in the process. Additionally, the club has released high-earning players like Alexandre Lacazette and Anthony Lopes to further alleviate financial strain.

As it stands, Lyon has the option to appeal the demotion decision. Should the appeal fail and the demotion be confirmed, the club will be relegated, paving the way for Reims to return to Ligue 1, as they were the team that lost to Metz in the relegation play-off. This situation highlights the precarious nature of financial management in professional football, especially for clubs that have enjoyed historical success. The outcome of Lyon's appeal and their future in Ligue 1 will be closely monitored by fans and stakeholders alike, as the club seeks to navigate this challenging period and restore its former glory in French football.