"£60 million loss" - Southampton and Leicester City warned about Premier League relegation back to EFL | OneFootball

Dan Plumley has issued a warning to Southampton and Leicester about the monetary concerns for them should they be relegated.

Southampton and Leicester City have been warned that they face an immediate £60 million loss should they fail to survive in the Premier League this season.

Both clubs earned promotion from the Championship last season, with the Foxes winning the league and the Saints seeing off Leeds United in the play-off final.

However, the transition back to the top tier has proven challenging as both clubs have struggled to find consistent wins throughout the campaign.

Southampton in particular seem destined for relegation, with the Saints accruing just six points after 23 games. This has seen Russell Martin sacked, but new head coach, Ivan Juric, hasn't fared much better.

Meanwhile, despite a positive victory over Tottenham Hotspur on the weekend, Leicester are also in trouble and are presently out of the bottom three by just one point.

The Foxes’ off-pitch issues haven’t helped either, as the club faces a potential points deduction after reporting significant losses for the second year running and breaching the Premier League's Profit and Sustainability Rules (PSR).

Financial expert issues major concerns for both Leicester City and Southampton

To gain expert insight into how relegation could impact the duo’s finances, Football Finance expert Dr Dan Plumley spoke to Football League World via Bet Ideas.

Asked how damaging it would be financially, he said: "The immediate £60m loss as a result of relegation is a tough hit to take for any club.

"Looking at the current Premier League table and the Championship table, three of the teams that got promoted and two of the teams that got relegated are in and around the placing positions. That shows how important it is to bounce back straight away after being relegated from the Premier League.

"Losing the benefits of the Premier League really does ‘tighten the belt’ in terms of finances and general atmosphere around the club."

Leicester and Southampton could be in trouble

If Ipswich Town, Leicester City and Southampton can't kick on and Wolves begin to pick up points, we could see the three promoted sides all head straight back down for the second successive year.

Clearly, finances are having a greater impact than ever on football, and with clubs restricted from heavy spending due to PSR rules, the Premier League is growing stronger while the Championship’s top sides struggle to keep up.

The Foxes were forced to sell some of their top talent in the summer and may have to do so again if they are to meet the financial requirements.

While the Saints' financial issues aren't quite as damning, they recorded a net loss of £87 million for the 2022-23 campaign, and we are still yet to see what impact that had on them last year.