'Earthquake' shakes French football

Lyon fans are frustrated and worried about the club's future.

The decision by the French Professional Football League (LFP) to relegate Lyon, who once dominated Ligue 1 with seven titles, to Ligue 2 next season has shaken French football. The decision, announced by the French Professional Football League (LFP) in the early morning of June 25, marks a heartbreaking turning point for one of Ligue 1's most traditional teams, and has shocked many.

Shocking decision

According to France Football , the National Management Control Commission (DNCG) is the body that made the decision. DNCG confirmed that Lyon was relegated due to serious financial problems. The body responsible for supervising the finances of French football clubs announced the decision after completing a financial audit in June 2025.

According to the announcement from the LFP, Lyon could not meet the financial requirements needed to maintain their place in Ligue 1, leading to their relegation. DNCG added that they had warned Lyon since November 2024, but the French team could not turn the situation around.

Lyon, once an icon of French football in the 2000s, was assessed by DNCG as unable to improve its financial situation before the deadline (June 30). DNCG identified that debts, high operating costs, and a lack of stable revenue sources put Lyon in a dangerous situation.

This resulted in the club being demoted to Ligue 2. Meanwhile, other clubs such as Monaco, Nantes and Paris FC, although also under financial supervision, met the requirements to avoid punishment.

Lyon still has the right to appeal, but the process is often lengthy and not guaranteed to be successful. According to L'Équipe , the club plans to file an appeal within 10 days of the decision being announced, with the hope of overturning the ban before the start of the 2025/26 season.

Why?

Lyon was once the dominant force in Ligue 1 with 7 consecutive championships from 2001/02 to 2007/08, possessing stars such as Juninho Pernambucano, Karim Benzema, Sidney Govou and later Alexandre Lacazette and Nabil Fekir.

However, since winning the Ligue 1 title in 2008, the club has gradually lost its position due to competition from Paris Saint-Germain and financial problems. In the 2024/25 season, Lyon finished 6th in Ligue 1, qualifying for the Europa League, but that was not enough to save the financial difficulties.

Lyon 1

Lyon fell into trouble.

John Textor, who owns 77% of Lyon, said in November 2024 that there was “no chance” the French club would be relegated. However, attempts to restructure the finances, including wage cuts and player sales, have not had the desired effect.

According to Le Figaro , Lyon is facing a debt of more than 400 million euros, causing a serious deficit in their budget. In addition, the inability to sell valuable players such as Rayan Cherki or Maxence Caqueret in the January 2025 transfer window has made the situation worse.

Although Cherki joined Manchester City earlier this month for more than 35 million euros, it was too late for Lyon. Debts of up to 400 million euros forced the club to sell at least more than half of its squad to turn things around.

Textor, who also owns stakes in Crystal Palace (UK), Botafogo (Brazil) and RWD Molenbeek (Belgium), is under pressure to find new capital to save the situation. In an effort to improve Lyon's financial situation, Textor agreed to sell a 43% stake in Crystal Palace to Woody Johnson, owner of the New York Jets football team.

The deal needs Premier League approval, a process that typically takes around two months. If successful, the proceeds from the deal could help Textor inject capital into Lyon, but time is running out to reverse DNCG’s decision before the 2025/26 season.

Lyon's relegation to Ligue 2 was described by ESPN as a "major earthquake" for French football. Lyon is not only a club with a rich tradition but also a leading youth academy, producing talents such as Benzema, Alexandre Lacazette and Nabil Fekir.

Relegation can have a serious impact on a club's reputation, finances and ability to retain players. It also raises questions about the financial sustainability of professional clubs in France.

For Lyon, if they cannot play in Ligue 1 next season, they are likely to lose major sponsors and revenue from television rights, falling into a more serious crisis.

Source: https://znews.vn/tran-dong-dat-lam-rung-chuyen-bong-da-phap-post1563525.html