How £900m deal critical to futures of Portsmouth, West Brom, Sunderland, Leeds United & Co is under threat

Manchester City’s legal action against the Premier League is endangering the financial stability of the likes of Pompey.

The top-flight champion’s case is reportedly threatening the £900m deal critical to the future of EFL clubs, according to reports.

City are set to take on the Premier League, as they bid to scrap rules limiting sponsorship deals between clubs and companies linked to the owners.

The hearing, which is due to start next week and run for a fortnight, comes ahead of the case surrounding the 115 alleged financial breaches City are also facing.

News this week of the dramatic development has raised concerns over the New Deal for Football, which is set to see EFL sides receive £150m per year for six seasons from the Premier League.

Success for City would give them a significant advantage in the transfer market, against sides who weren’t able to generate huge funds from deals with companies connected with their owners.

Top flight clubs are arguing they will need money earmarked for the deal, in the face of success for the club owned by United Arab Emirates vice president Sheikh Mansour bin Zayed Al Nahyan.

Premier League chiefs are pinpointing the City case as the significant factor in why the New Deal For Football is still to be signed off, with talks failing to reach a conclusion since last year.

That led to the government suggesting the process of introducing a new football regulator should be brought forward to impose a deal. There is clear issues with that idea, however, with the football regulator itself paused with no bills going through parliament since a general election was called.

The case over City’s 115 alleged financial breaches is currently set to be heard in November.

Of the charges, Manchester City chairman Khaldoon al-Mubarak yesterday told the club’s media: 'Of course, it’s frustrating, the referencing is always frustrating.

'I feel for our fanbase and everyone associated with the club to have these charges constantly referenced.

'It’s taking longer than anyone hoped for but there is a process we have to go through. I’ve always repeated, let’s be judged by the facts and not by claims and counterclaims.'