UEFA 'make decision' on Lyon playing in Europa League after relegation from Ligue 1 in huge update for Crystal Palace

European football's governing body, UEFA, have reportedly made their decision regarding Lyon's participation in the Europa League in what could be a huge update for Crystal Palace.

Last month, Premier League side Palace made history as they won their first ever major trophy by beating Manchester City 1-0 in the FA Cup final.

Eberechi Eze scored the winner as the Eagles secured their place in Europe ahead of the 25/26 season.

However, it was then reported that Palace face being banned from competing in Europe due to the club's shareholder, John Textor, holding a controlling stake in French side Lyon, who have also qualified for the Europa League, which breaches UEFA's multi-club ownership rules.

As a result, Textor decided to sell his 43% stake in Palace, seemingly paving the way for the club to embark on an European adventure.

However, it was then claimed last week that Palace could still be kicked out of the tournament.

According to a report from The Times, UEFA's official multi-club ownership rules state that teams must meet the eligibility criteria by a deadline of 1 March 2025, nearly four months before Textor's sale.

UEFA regulation states: "To ensure the integrity of the Uefa club competitions, the club must be able to prove that as at 1 March 2025 the… multi-club ownership criteria were met and the club must continue to comply with the criteria from that date until the end of the competition season."

In the meantime, Lyon have been relegated from Ligue 1 over financial issues, with the French side appealing the decision immediately.

Lyon have been relegated from Ligue 1. Image: Getty

On Friday afternoon, it was claimed that an official decision regarding Lyon's participation in Europe had been reached.

As reported by French news outlet Foot Mercato, UEFA have told Lyon that their place in the 25/26 Europa League has been confirmed.

It has been stated that shareholder Textor and general manager Michael Gerlinger have 'personally conducted financial presentations to provide guarantees and reassurances to UEFA’s Club Financial Control Body'.

It is unclear what impact this development will have on Palace's spot in the Europa League, with the Eagles set to find out their fate next week.