Leicester have won their appeal against a decision that an independent commission had jurisdiction to consider an alleged breach of the Premier League’s profit and sustainability rules.

The Premier League said it was “surprised and disappointed” by the move to uphold the Foxes’ appeal.

An independent appeal board found that Leicester’s accounting period – after it was claimed the club had exceeded the maximum permitted £105million loss over a three-season period – ended on June 30, 2023, after the club were relegated from the top flight.

The Premier League said that the appeal board’s decision “effectively means that, despite the club being a member of the (Premier) League from seasons 2019-20 to 2022-23, the League cannot take action against the club for exceeding the relevant PSR threshold in respect of the associated accounting periods”.

Leicester welcomed the decision, adding the verdict supported their “consistently stated position that any action against the club should be pursued in accordance with the applicable rules”.

The club could have faced a points deduction had they been found to have breached the financial rules.