Lyon’s relegation from Ligue 1 has been overturned, giving Crystal Palace new cause for concern in the Europa League.

Lyon’s relegation from Ligue 1 has been overturned, giving Crystal Palace new cause for concern in the Europa League.

The official reversal of Lyon’s Ligue 1 relegation puts Crystal Palace’s chances of competing in the Europa League next season in jeopardy.

Following the upholding of a provisional relegation, France’s Direction Nationale du Controle de Gestion (DNCG) declared last month that the seven-time top-flight champions had been demoted to the second division.

Due to severe financial mismanagement that reportedly left the team with debts totaling over £400 million and in dire need of cash raising through sales, Lyon was first demoted to Ligue 2 in late 2024.

Over the course of the previous 12 months, Les Gones sold off a few high-profile individuals, including Rayan Cherki, Gift Orban, and Said Benrahma. Additionally, former president John Textor resigned from his board position and handed over control to Michele Kang.

After an appeal and a meeting with the relevant committee on Wednesday, Lyon was able to maintain their top-flight status despite the fact that those measures initially did not satisfy the DNCG.

“Olympique Lyonnais is pleased with the DNCG’s decision today to maintain the Club in Ligue 1. According to a club statement, “OL expresses gratitude to the Appeals Committee for acknowledging the aspirations of the Club’s new management, who are committed to guaranteeing serious management going forward.”

“The new management, supported by the commitment and dedication of our shareholders and lenders, is extremely grateful for all the support received both within and outside the Club, including from its supporters, employees, players, partners and elected officials.

“Today’s decision is the first step in restoring confidence in Olympique Lyonnais. We can now focus our attention on our sporting objectives and fully prepare for next season.”

Les Gones are now anticipated to play in the Europa League next season, but their spot in the 2025–26 competition would have been seriously jeopardized had Lyon’s relegation to the second division been upheld.

The decision could have serious repercussions for Crystal Palace, who have been battling for a long time to maintain the Europa League spot they earned by defeating Manchester City in the FA Cup final last season.

According to UEFA regulations, two clubs owned by the same person cannot play in the same competition. John Textor, a co-owner of Palace, is also the owner of the Eagle Football Group, which manages Lyon.

Last month, the American consented to sell Woody Johnson his Crystal Palace shares; however, the Palace had until March to change their ownership structure in accordance with UEFA rules.

The Eagles will now have to wait even more anxiously to find out the outcome of UEFA’s decision, but they will probably file an appeal if they are ever kicked out of the Europa League.