Leeds United warned of points deduction for outstanding payments worth £190m

Leeds United has been warned following Sheffield United’s recent punishment of a points deduction for failing to settle outstanding transfer fees, highlighting potential repercussions for clubs defaulting on payments.

Sheffield United’s default on approximately £9 million in transfer fees has led to the EFL imposing a two-point deduction, scheduled to take effect at the beginning of the next season should the Blades be relegated to the Championship.

Additionally, a further two-point deduction will be enforced at the end of next season.

Leeds United facing similar problem

The situation has drawn attention to Leeds United, whose 2022-23 accounts reveal outstanding payments totalling approximately £190 million owed to other clubs

Speaking on Football Insider’s Inside Track podcast, former Everton director Keith Wyness has claimed that Leeds United could end up causing a huge problem for clubs they owe money to if they default on their outstanding payments.

Wyness emphasised the potential severity of the issue, highlighting past experiences with Italian clubs during his tenure at Everton, which necessitated involvement in FIFA tribunals to resolve payment disputes.

He stressed the importance of timely payments in maintaining financial stability and adhering to budget forecasts, warning against the potential disruption caused by defaulting on payments.

While Sheffield United’s £8 million default may not have catastrophic financial implications, Wyness underscored the potential magnitude of the issue if larger clubs, such as Leeds, were to default on significant sums owed.

Such a scenario could create substantial challenges for the clubs awaiting payment.

He said (quotes via Football Insider):

“It seems that the Sheffield United owner is