A dramatic reversal that has sent ripples across French football, Olympique Lyon has officially been cleared to remain in Ligue 1 for the 2025/26 season, overturning an earlier decision that would have seen the seven-time French champions relegated to Ligue 2 over financial concerns.
The ruling came from the Direction Nationale du Contrôle de Gestion (DNCG), the financial watchdog of French football, following a successful appeal by the club’s management.
The decision marks a major reprieve for Lyon, who had faced demotion due to a staggering €541 million debt.
Football insider Fabrizio Romano confirmed the development on X (formerly Twitter), writing:
“Official: Olympique Lyon will NOT be relegated to Ligue 2 and the club will stay in Ligue1. The decision has been confirmed.”
Lyon echoed the confirmation with a statement on their official website:
“Today’s decision is the first step to restore confidence in Olympique Lyonnais. We can now focus our attention on sporting objectives, fully preparing for next season.”
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The club’s new leadership, under President John Textor, reportedly presented a revised financial strategy that convinced the DNCG of their ability to meet obligations and stabilize operations ahead of the new campaign.
Sources say the plan included restructuring debt, securing new sponsorship deals, and trimming costs across the organization.
The decision not only ensures Lyon’s top-flight status but also secures their place in next season’s Europa League, barring any further appeals.
However, the verdict could have downstream effects — notably for Premier League side Crystal Palace, who might now miss out on a European spot due to Lyon’s reinstatement.
Lyon’s turbulent offseason has now taken a hopeful turn, but the club faces a tough path ahead as it tries to rebuild both financially and competitively.