Meaning of City’s transfer embargo

LEICESTER City have been placed under a registration embargo by the EFL for allegedly breaching profitability and sustainability rules.

What does an embargo mean?

According to the EFL: “An embargo prevents a club from strengthening its team or adding to its playing staff costs until such time as it has met its existing financial obligations and/ or the club has rectified the relevant breach of EFL regulation(s).”

Can Leicester sign players?

The transfer window isn’t currently open so the rules are different to the ones that apply when the window is open.

The EFL states clubs can only register free agents if they have less than 16 players of professional standing – any player who has made one first team appearance, including as a sub. Leicester have over 23.

However, in City’s case, the club can commence re-engagement with currently registered players, loan an emergency goalkeeper, register academy players and register players if they have fewer than 24 “established players” (aged 21 or over on June 30 last year and who have been named in the starting XI on five occasions).

If the club has 24 or more established players they can only sign new players on a one in, one out basis, subject to circumstances.

Should the embargo carry over to when the transfer window reopens, the rules vary. Clubs are allowed to “staff up” to 23 players of professional standing.

To staff up, clubs are only allowed to sign loan players or free agents.

Can Leicester agree contract extensions?

According to the EFL, yes. “Clubs can offer new contracts to existing players, though this will be dependent upon the circumstances of the individual club and will be determined by the league.”

Leicester are also able to register academy players, scholars and non first-team players.

How long is the embargo?

There has been no timeframe given.