Leeds docked 15 points but will start new season

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The club have appealed against the sanction imposed by the Football League and their case will be heard at a special meeting of all league clubs, to be arranged in due course.

Doubts had been raised over Leeds' future after the club, bought back out of administration by chairman Ken Bates, failed to agree a Company Voluntary Arrangement to pay off an acceptable amount of their debts to creditors.

The Football League, in making their decision, accepted there were "exceptional circumstances" but stressed they could not allow Leeds to operate outside the strict rules concerning administration.

"The Football League Board agreed that, notwithstanding the manner in which this administration has been conducted, the club should be permitted to continue in the Football League," said a statement.

"Consequently, the board has decided to make use of the 'exceptional circumstances' provision within the League's insolvency policy, for the first time, and agreed to transfer the club's share in The Football League to Leeds United 2007 Ltd. Accordingly, the club's share has now been transferred.

"However, it is acknowledged the club did go into administration and has been unable to comply with the terms of the League's well-established insolvency policy.

"As a result, the board determined this transfer of membership should be subject to Leeds United having a 15-point deduction applicable from the beginning of the 2007/08 season.

"Leeds subsequently have lodged an appeal against this sanction, which will be heard at a special meeting of all League clubs, to be arranged in due course."