Crusaders and Derry City will join forces to commence legal proceedings over their omission from Stage Two of the Northern Ireland Football Fund.

In September, the Department of Communities announced 20 clubs from across Northern Ireland would progress to the next round of the process with three different tiers of funding available.

Of the 41 clubs eligible to apply, 38 submitted bids, leaving those who missed out bitterly disappointed.

Both Crusaders and Derry City were two to miss out and having considered the decision, jointly confirmed on Wednesday evening they will now lodge legal proceedings against the decision to omit them.

In a statement, Crusaders said: “Following an extra-ordinary general meeting of Crusaders Football Club members on Wednesday, 8 October 2025, Crusaders FC have determined to join Derry City FC to commence legal proceedings to challenge the exclusion of both clubs from Stage 2 of the Northern Ireland Football Fund.”

The League of Ireland club expressed similar sentiments.

“Derry City FC have made the decision to join with Crusaders FC to commence legal proceedings to challenge the exclusion of both clubs from Stage 2 of the Northern Ireland Football Fund process,” they said in a statement.

“We believe we were left with no other option.”

The Stormont Executive has set £36.2m aside, but Communities Minister Gordon Lyons estimated the departmental cost of the 20 projects would come to “just over £82m”, while the “estimated total project costs” are £98m.

The big winners were NIFL Premiership clubs Glentoran and Cliftonville who progressed in the third and most expensive tier of over £6m.

The middle bracket of applications between £1.5m to £6m saw 13 successful applications, while five of of less than £1.5m also progressed.