Seven-time French champions Olympique Lyonnais have successfully overturned their relegation and will compete in Ligue 1 for the upcoming season. The French Football Federation (FFF) confirmed on Wednesday, July 9, 2025, that the club's appeal against the demotion was successful.
The Initial Ruling
Last month, French football's financial watchdog, the DNCG, relegated Lyon to the second-tier Ligue 2 due to significant financial difficulties. The club had been placed under budgetary restrictions in November 2024 and was sanctioned on June 24, 2025, after failing to convince the authorities that its financial situation had improved sufficiently. The core issues were substantial debts and a high wage bill.
The Path to Reinstatement
In response to the "incomprehensible" ruling, Lyon immediately vowed to appeal. The club presented a new financial plan to the appeal commission, which led to the reversal of the initial decision. To secure their place in the top flight, Lyon was required to implement key changes, including cutting their wage bill and transfer budget for the upcoming season.
Key steps taken by the club include:
- A change in leadership, with American businesswoman Michele Kang taking over as club president from John Textor.
- Owner John Textor sold his 43% stake in Premier League club Crystal Palace to help balance Lyon's books.
- The club reduced its salary expenses by releasing players like Alexandre Lacazette and Anthony Lopes.
- High-profile player sales, including Rayan Cherki to Manchester City and Maxence Caqueret to Como, generated crucial funds.
Club's Reaction and Future Outlook
Following the successful appeal, Lyon issued a statement expressing their gratitude and ambition. "Lyon would like to thank the appeal commission after it recognised the ambition of the new management of the club," the statement read. "Today's decision constitutes the first step of re-establishing trust in Lyon".
With their Ligue 1 status confirmed, Lyon can now focus on their sporting objectives. The club finished sixth last season, qualifying for the Europa League, and will now be allowed to participate in the competition. This decision, however, creates uncertainty for Crystal Palace's participation in the same tournament due to multi-club ownership rules involving former shareholder John Textor. Lyon is set to begin its Ligue 1 season with a match against Lens on the weekend of August 15-17.