Manchester United’s jubilation after their thrilling FA Cup victory over Manchester City could be short-lived. Despite securing a Europa League spot with their 2-1 win at Wembley, the club now faces a potential ban from the competition due to UEFA’s multi-club ownership regulations.
A Web of Ownership: INEOS at the Center of the Controversy
The crux of the issue lies with INEOS, a multinational chemical company chaired by Sir Jim Ratcliffe. While INEOS holds a significant 27% stake in Manchester United, they are also the sole owners of French Ligue 1 club Nice. This shared ownership structure runs afoul of UEFA’s rules, which strictly prohibit two teams under the same ownership from competing in the same European tournament.
Ratcliffe’s Ambitious Plans Further Complicate Matters
Further complicating the situation, Sir Jim Ratcliffe has publicly expressed his intention to increase his ownership stake in Manchester United beyond the current 27%. He reportedly plans to invest an additional £245 million, which would push INEOS’ ownership above the crucial 30% threshold, triggering a clear violation of UEFA’s regulations.
History Repeats Itself: Manchester United Announced Partial Sale in December 2023
Interestingly, Manchester United announced a deal on Christmas Eve 2023, granting INEOS a 25% stake in the club. Even at that point, concerns regarding UEFA’s ownership rules loomed large. Now, with Ratcliffe’s proposed increased investment, those concerns have become a full-blown threat to United’s European participation.
Nice’s Fifth-Place Finish Adds Another Layer of Complexity
Adding another wrinkle to the situation is the impressive performance of Nice in Ligue 1. The French club secured a coveted fifth-place finish, which translates to a Europa League qualification spot. This creates a potential scenario where, if the ownership conflict isn’t resolved, one of the two INEOS-owned clubs could be relegated to the lesser UEFA Conference League.
Relegation by Ranking: Nice Likely Safe, United in Danger
Given that Nice finished significantly higher in their domestic league than Manchester United (5th vs 8th), footballing authorities would likely prioritize Nice’s Europa League spot. This relegation scenario would see Manchester United lose their European qualification despite their FA Cup triumph.
Not a Lone Ranger: Manchester City Faces Similar Ownership Hurdles
Manchester United isn’t the only Premier League club facing a UEFA ownership headache. Manchester City’s parent company, City Football Group (CFG), also walks a tightrope. CFG owns a substantial 47% stake in Spanish club Girona, which recently secured a Champions League spot with a stellar performance in La Liga. This situation echoes United’s dilemma, and UEFA has already demanded that CFG reduce its stake in Girona to ensure the Spanish club’s Champions League participation.
UEFA Tightens the Grip: Preventing “Decisive Influence”
The recent update to UEFA’s Club Financial Control Body regulations reflects the governing body’s stricter stance on multi-club ownership. The focus is on preventing any entity from exerting “decisive influence” over multiple clubs participating in the same European tournament. This revised regulation requires clubs with shared ownership structures to navigate a complex landscape to ensure they comply with the rules and maintain their European aspirations.
Neither Manchester United nor INEOS has officially commented on their next steps.
