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The government will not step in to help the Premier League after they were proven to have acted unlawfully and discriminatory this week in a landmark court defeat.

Manchester City challenged the Premier League over their Associated Party Transaction rules, and were victorious in front of an independent tribunal, who found the rules were unlawful, discriminatory and went against UK competition law. The verdict also said the Premier League abused its dominant position, and while it supported the need for APT rules, it ruled that they must be changed in their current form.

In response, Culture Secretary has refused to back the Premier League, telling it to sort out the problems as it presses ahead with introducing an Independent Regulator. The Premier League have opposed the concept of such a regulator, although this week's verdict highlighted the need for one.

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Culture Secretary Lisa Nandy, whose remit covers sport, was speaking on Sky News on Wednesday, and she offered a blunt response to the City verdict: resolve it yourself.

“I think there have been lots of issues in football, but the biggest issue that the Government is involved with is the issue about sustainability," she said. “The question of the Premier League is a matter for the Premier League and for the clubs to resolve amongst themselves.

“What I’m really focused on is making sure that we have a sustainable, fair game, from the Premier League – which is a great British export, and it brings great joy to people – all the way through the Championship clubs to the grassroots.

“That’s why we’re introducing the independent football regulator through legislation which we announced in the King’s Speech. I’m really excited to say that we’ll be introducing that very shortly.”

Writing earlier this year in the Times, Premier League CEO Richard Masters said: "The Football Governance Bill, published last month, will establish strict banking-style regulation for more than 100 football clubs, with rules governing liquidity, debt, overall expenditure, ownership and fan relationships.

It will give the regulator unprecedented power over the sport, including the right to determine how much money is distributed to lower-league teams by Premier League clubs. This is an arrangement that, under a voluntary system, already provides the most generous funding in world football.

As chief executive of the Premier League, my overriding concern is that the bill would reduce our competitiveness and weaken the incredible appeal of the English game."

Ironically, Masters cited the need for the Premier League to remain competitive as reason against the introduction of a regulator, and he was speaking before the July general election which saw Labour elected and commit to the Football Governance Bill.

Masters continued: "It is a risk that regulation will undermine the Premier League’s global success, thereby wounding the goose that provides English football’s golden egg.

"It is a risk to regulate an industry that has worked so hard to lead the world, especially when none of its competitors are subject to the same regulation. Those competitors are relishing the prospect of the Premier League being uniquely constrained. Empires rise and fall — and while I am confident about the league’s immediate future, it would be a mistake to be complacent about our place as the world’s most popular league.

"It is a risk to introduce uncertainty and red tape into an industry that relies heavily on a relatively small pool of investors, who often see club ownership as a passion project as well as a business. While the sport is buoyant today, it would be so easy to misstep and drive our world-leading investment elsewhere."