Olympique Lyon’s forced relegation has been decided: the seven-time French champions and Europa League participants will be relegated to Ligue 2 for the coming season.
Measures had already been imposed on Olympique Lyon in November 2024. These included a transfer ban and provisional relegation.
Seven months later, the provisional measure has now become reality: as the Professional Football League (LFP) announced on Tuesday evening, the heavily indebted club will be relegated to Ligue 2 by the National Control and Management Directorate (DNCG) for breaches of financial regulations.
At a hearing on Tuesday afternoon, Lyon’s attempts to convince the French financial supervisory authority to lift the measures imposed in November were unsuccessful. As a result, the seven-time French champions (all titles won consecutively between 2002 and 2008) must now face the bitter prospect of relegation to Ligue 2.
Lyon, which finished sixth last season and thus qualified for European competition, will now be absent from the top flight of French soccer for the first time since 1989.
Financially lucrative departures do not help
The ruling also marks the failure of OL owner John Textor’s attempt to steer the club into calmer financial waters. The US businessman had remained confident ahead of the decision. “Everything is financially sound,” said the chairman of Eagle Football Holding.
It was only in January, after a cash injection of €83 million, that an agreement was reached with the club’s creditors. A voluntary severance plan for around 100 employees and the departure of high-profile players such as club icon Alexandre Lacazette (now without a club) and Rayan Cherki (Manchester City) were further cost-cutting measures.
There is still a glimmer of hope, however: Olympique Lyon can appeal the decision. If the forced relegation is ultimately upheld, Stade Reims, which was relegated on sporting grounds, could benefit. Stade Reims finished 16th in the table and had to go into the relegation play-offs, where they lost to FC Metz (1-1, 1-3 after extra time).
Lyon to appeal
In a statement on the club’s website, OL described the decision as “incomprehensible” and announced that it would appeal immediately. “Over the past few months, we have worked closely with the DNCG and met all of its demands with capital contributions that exceed the amounts requested,” the statement said. As a result, the club’s liquidity situation has “improved significantly, and we have more than sufficient funds for the 2025/26 season.”
