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Crystal Palace hit with setback after Lyon learn relegation fate

Published 16:27 9 Jul 2025 BST

Updated 16:27 9 Jul 2025 BST

Sammi Minion
Crystal Palace hit with setback after Lyon learn relegation fate

Homesport

The French side found out their fate today 

Crystal Palace’s hopes of playing in next season’s Europa League are now hanging in the balance, after French side Olympic Lyonnais won an appeal to stay in the French first division. 

Lyon had been provisionally relegated on financial grounds but have now been reinstated by French football watchdog DNCG at a hearing this afternoon. 

Despite the geographical distance between them, the two clubs’ European status has become closely linked over the past few weeks.

This is because both Crystal Palace and Lyon are owned, at least in part, by Eagle Football Holdings — under American businessman John Textor— and according to Uefa’s strict multi-club ownership rules it is forbidden for two teams with the same owner to compete in European competitions. 

Lyon had agreed with Uefa that if they were relegated they would cede from their position in next season’s Europa League, a move which would have confirmed Palace’s involvement. 

However, with the seven-time French champions’ first-division status now restored, it will be up to Uefa to decide if Palace will be allowed to take up their place. 

A statement made by the Ligue 1 side reads: “Olympique Lyonnais welcomes the decision, made today by the DNCG, to keep the Club in Ligue 1. OL thanks the Appeals Committee for recognising the ambition of the new management of the Club, determined to ensure serious management in the future.

“We can now focus our attention on sporting objectives, fully preparing for next season.”

The complex situation has amounted as a result of Crystal Palace’s surprising success in last season’s FA Cup, after they beat Manchester City in the final. That victory secured Europa League qualification. 

Should Uefa decide not to allow the Eagles to take up their place, the Europa League spot will be taken up by Nottingham Forest. 

In turn, this change would allow Palace’s bitter rivals Brighton and Hove Albion to qualify for Uefa’s third tier European competition, the UEFA Conference League, replacing the promoted Forest and leaving the Eagles with nothing. 

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Crystal Palace hit with setback after Lyon learn relegation fate