Liverpool are to escape UEFA punishment for falling foul of Financial Fair Play rules after persuading the organisation that mitigating circumstances were to blame after club made losses of £49m for the 2012/13 campaign and £40m for the season before that.
UEFA rules state that no club is allowed a loss of more than £33m over three years worth of financial accounts – but the club have been able to write off some of the losses as stadium improvement costs.
Liverpool could have faced heavy financial sanctions as well as a reduced squad allowance should they qualify for Europe next season, but UEFA have allowed a reprieve and let the club off these penalties.
The club have also made an operating profit for the last year and are set to make a bigger slice going forward thanks to the short-lived return of Champions League football this season.
It will come as a relief to FSG, who would have been hit with the bill for any fine that was imposed by UEFA on the club.
The rulings further highlight the need for the club to qualify regularly for the Champions League if they want to be able to compete with money-rich clubs like Chelsea and Manchester City as well as Manchester United and Arsenal.