Lyon RELEGATED to Ligue 2 as official statement released

In an official statement, the Ligue de Football Professionnel have confirmed that French giants Lyon have been relegated to Ligue 2.

Despite finishing sixth in the French top division this season, seven-time Ligue 1 winners Lyon have officially been relegated to the second tier of French football.

The decision comes following a meeting held to discuss the club's financial situation, involving both the French FA, the Ligue de Football Professionnel (LFP) and the Direction Nationale du Contrôle de Gestion (DNCG).

It comes just one day after club owner John Textor agreed to sell all of his shares in Premier League side Crystal Palace to New York Jets owner Woody Johnson in a deal worth more than £190million.

However, the sale was not enough to persuade French officials that the club's financial situation had improved, forcing them to relegate Lyon ahead of next season.

John Textor sold his 43 percent stake in Crystal Palace to Woody Johnson for £190m. (Credit:Getty)

Heading into the meeting, Textor appeared to be confident that the matter would be resolved and Lyon would remain a Ligue 1 side next season.

He said: "You can see from the contributions of our shareholders, we have invested new capital, not only for the DNCG, but also for our UEFA licensing process. Not to mention the good news of the sale of Crystal Palace. Our liquidity situation has improved considerably.”

But an official statement from DNCG confirmed that this would not be the case, and Lyon would be made to play their football in the second tier next season.

The decision to relegate the French club provisionally came at the end of 2024, after it was revealed that the club had racked up debuts of more than €500million (£426.3m).

As a result of this, Lyon also received a transfer ban, while DNCG took control of the club's payroll.

Lyon finished sixth in Ligue 1 this season. (Image: Getty)

Reacting to the news, Lyon released an official statement on the club website confirming that they will immediately file an appeal against the decision.

It read: "Olympique Lyonnais acknowledges the incomprehensible decision rendered by the DNCG tonight and confirms that it will immediately file an appeal.

"In recent months, we have worked closely with the DNCG, satisfying all of its requests with cash equity investments exceeding the amounts requested.

"Thanks to the equity contributions of our shareholders and the sale of Crystal Palace, our cash position has improved significantly, and we have more than sufficient resources for the 2025/26 season.

"With so much cash liquidity demonstrated, and sporting success which has earned European competition in two consecutive years, we sincerely do not understand how one administrative decision could relegate such a great French club.

"Through our appeal, we will establish our substantial cash resources as necessary for Olympique Lyonnais to keep its place in Ligue 1."

As it stands, it is unclear how this will impact Lyon's participation in the Europa League next season, or if it will impact the ongoing situation regarding Crystal Palace playing in the European competition.