In a stunning and unprecedented decision, the National Committee for the Oversight and Financial Management of Clubs (DNCG) has officially relegated Olympique Lyonnais to Ligue 2, sending shockwaves across the French football landscape.
The ruling, announced Tuesday evening, follows a final review of Lyon’s financial records, which the DNCG found to be in violation of its financial regulations—specifically Article 11. Despite a last-ditch effort by Lyon’s president, John Textor, and football director Mickaël Gerlinger, who appeared before the committee in hopes of reversing the looming sanction, the club was unable to convince the governing body of its financial viability.
Lyon, one of France’s most storied clubs and a seven-time Ligue 1 champion, had already been temporarily demoted during the January transfer window over its failure to provide necessary financial guarantees. At the heart of the issue is a ballooning debt of €175 million, a figure that has raised serious concerns about the club’s long-term sustainability.
The DNCG’s final ruling confirms that those concerns were not adequately addressed, despite recent public statements by Textor insisting that fresh investments had stabilized the club’s finances.
“This decision is a devastating blow,” a senior club official told local media. “We believe we have taken every measure to comply with financial regulations, and we will use every available legal avenue to appeal.”
The ruling marks the first time in decades that Olympique Lyonnais will play in France’s second division, ending a long-standing presence in the top flight and potentially jeopardizing its revenue streams, European competition hopes, and recruitment plans.
The club has been granted the right to appeal, but unless overturned, the decision could drastically alter the competitive landscape of French football for the 2025/26 season.
Fans and former players have already taken to social media to express their shock and frustration. Many are calling for more transparency regarding the club’s internal financial management, while others see the DNCG’s ruling as a necessary move to uphold fiscal responsibility in the sport.
As Lyon prepares its formal response, one thing is clear: French football is witnessing one of its most dramatic off-field moments in recent history.