Explained: UEFA rejection of Crystal Palace’s admission to Europa League

European football governing body demotes FA Cup holders to Conference League. Here are the reasons why

Crystal Palace have said they are "extremely dismayed" by a UEFA decision to reject their admission to this season’s UEFA Europa League, and instead put them in the UEFA Conference League, because of a breach of the rules of European football’s governing body around multi-club ownership.  

What’s happened? 

Palace qualified for the Europa League after winning the 2024/25 FA Cup final, giving them the first major trophy in their history.

However, UEFA’s Club Financial Control Body (CFCB) deemed that the participation of both Palace and French side Olympique Lyonnais in the UEFA Europa League (UEL) breached UEFA’s multi-club ownership rules.  

What UEFA rules have been breached? 

Article 5 of UEFA’s regulations for the UEL deals with multi-club ownership. Among the rules is that as at 1 March 2025 "no one may simultaneously be involved, either directly or indirectly, in any capacity whatsoever in the management, administration and/or sporting performance of more than one club participating in a UEFA club competition".

The CFCB determined that US businessman John Textor’s ownership of a stake in Palace, via Eagle Football, and in Lyon breached UEFA’s regulations on multi-club ownership. 

Lyon had been relegated to the French second division last week, which would have meant that they would not participate in the UEL, but the club successfully appealed against their relegation.  

Why does UEFA deem that Lyon stay in the UEL and not Palace? 

UEFA stipulates that in such instances the club ranked highest in their domestic competition is allowed to participate in the relevant UEFA competition. Therefore, Lyon remain in the UEL thanks to their sixth-place finish in Ligue 1 last season, after Palace finished 12th 

So UEFA has said that it has accepted Palace’s admission to the 2025/26 UEFA Conference League, the third European cup competition, which was won by Chelsea last season.  

What did UEFA say? 

A UEFA statement said: "The First Chamber of the UEFA Club Financial Control Body has concluded the proceedings on the multi-club ownership case involving Crystal Palace (ENG) and Olympique Lyonnais (FRA). 

"The CFCB First Chamber had opened proceedings against Crystal Palace and Olympique Lyonnais due to a potential conflict with the multi-club ownership rule provided for in Article 5 of the UEFA Club Competitions Regulations. 

"On 9 July 2025, the appeal instance of the French financial control authority (DNCG) decided not to relegate Olympique Lyonnais to Ligue 2. Consequently, and following an assessment by the CFCB of all the other relevant conditions included in the settlement agreement, Olympique Lyonnais will not be excluded from the 2025/26 UEFA club competitions. 

"Consequently, the CFCB First Chamber pursued the assessment of the documentation submitted by Olympique Lyonnais and Crystal Palace and concluded that the clubs breached, as at 1 March 2025, the multi-club ownership criteria foreseen in Art 5.01 of the UEFA Club Competition Regulations. 

"For this reason, and in accordance with the provisions set in Art. 5.02, 5.03 and 5.04 of the UEFA Club Competitions Regulations, the CFCB First Chamber decided:

- To accept Olympique Lyonnais' admission to the 2025/26 UEFA Europa League; and

- To reject Crystal Palace's admission to the 2025/26 UEFA Europa League and to accept Crystal Palace's admission to the 2025/26 UEFA Conference League.

"The present decision may be appealed against before the Court of Arbitration for Sport, in accordance with Articles 62 and 63 of the UEFA Statutes."

What did Palace say? 

A Palace statement read: "Crystal Palace F.C. are extremely dismayed by UEFA’s decision to exclude the club from the Europa League. 

"It’s clear for everyone to see that we are not part of a multi-club operation and never have been.

"Further with the completion of the sale of Eagle football’s shareholding to Woody Johnson there will be zero possibility of a conflict of interest once the competition begins. 

"We will continue to press our case and work with UEFA to achieve the fair and just outcome so that we may take our rightful place in the Europa League, as well as taking legal advice to consider our options, including an appeal to the Court of Arbitration for Sport (CAS)."

Speaking separately to Sky Sports, Palace chairman Steve Parish said: "We're devastated for, most importantly, the supporters. I think the supporters of all clubs should be devastated for us because this is the dream. 

"I'm devastated for the players, for the fans, for the staff. I think it's a bad day for football. 

"I think most football fans, right-minded football fans, will see what a terrible injustice this is for the football club. 

"It’s one that I dearly hope somebody can remedy, because I do believe that nobody in football wants to see this. Nobody in football, and I don't think UEFA, want to see this – clubs that rightfully qualify for a competition being locked out of that competition, on the most ridiculous technicality that you can imagine. 

"We're looking at all of the options at the moment. We would much prefer it if somebody intervened in this process. We believe it's possible for [UEFA president] Mr [Aleksandar] Ceferin or somebody else to do that. 

"This is a rule we can't comply with. A rule has been created that's impossible for Crystal Palace, the majority owners of Crystal Palace, to comply with. 

"A minority shareholder needed to either sell or place their shares in trust. We had no power to compel them to do that. So that part alone is completely incongruous."

What happens to Palace’s place in the Europa League? 

UEFA has not said whether an English team will take Palace's place in the Europa League.

According to UEFA’s rule 4.10, "a club that is not admitted to the competition is replaced by the next-best-placed club in the top domestic championship of the same association, provided the new club fulfils the admission criteria and the status of the competition allows such a replacement, safeguarding the sporting integrity of the competition". 

See: UEFA’s rules on the 2025/26 Europa League.