Crystal Palace's hopes of participating in the 2025-26 Europa League are currently hanging in the balance due to concerns surrounding multi-club ownership rules. UEFA has officially delayed its decision regarding Crystal Palace's eligibility for the competition, injecting uncertainty into the club's potential first-ever European campaign.

The issue stems from John Textor's involvement with both Crystal Palace and French club Lyon. UEFA regulations prevent a single individual or entity from controlling or unduly influencing multiple clubs participating in the same European competition. Textor owned 43% of Crystal Palace while also holding a majority stake in Lyon, who also qualified for the Europa League. This situation presented a direct conflict with UEFA's rules.

UEFA's multi-club ownership regulations, specifically article five, stipulate that clubs must demonstrate by March 1st of the relevant year that no individual or legal entity holds control or influence over more than one club in the same competition. If multiple clubs fail to meet this criterion, only one can be admitted, with Lyon's higher league finish potentially giving them priority over Crystal Palace.

John Textor has since sold his stake in Crystal Palace to Woody Johnson, owner of the New York Jets. Despite this sale, UEFA's investigation is still ongoing. There is currently no confirmed date for when the investigation will be completed.

Adding another layer of complexity, Lyon are facing potential relegation to the French second tier due to financial issues. They have reached a settlement with UEFA that would exclude them from European competition in 2025-26 if their relegation is upheld. However, Lyon has appealed the relegation decision, further delaying UEFA's final verdict on Crystal Palace's participation.

The postponement of UEFA's decision has ramifications for other Premier League clubs as well. Nottingham Forest, who finished seventh in the Premier League, originally qualified for the Conference League. If Crystal Palace is ultimately barred from the Europa League, Nottingham Forest would likely be promoted to the higher-tier competition. This would also open up a Conference League spot for Brighton, who finished eighth in the Premier League. Nottingham Forest have reportedly already contacted UEFA to challenge Crystal Palace's Europa League spot.

Crystal Palace secured their place in the Europa League by defeating Manchester City in the FA Cup final in May. The club is currently preparing for the 2025-26 season, which will be their 120th overall and their 13th consecutive season in the Premier League. The club is also set to participate in the FA Cup, EFL Cup and FA Community Shield. This season marks the first since 2011-12 without Joel Ward, who departed after 13 years with the club.

As of today, July 1st, 2025, the club's fate in the Europa League remains uncertain, pending UEFA's final decision.