Dean Smith and Aston Villa will host Leicester City in the League Cup semi-final first leg at Villa Park on Wednesday. Getty
Dean Smith and Aston Villa will host Leicester City in the League Cup semi-final first leg at Villa Park on Wednesday. Getty
Dean Smith and Aston Villa will host Leicester City in the League Cup semi-final first leg at Villa Park on Wednesday. Getty
Dean Smith and Aston Villa will host Leicester City in the League Cup semi-final first leg at Villa Park on Wednesday. Getty

League Cup: Dean Smith demands Aston Villa 'learn lessons' from defeat to Leicester City


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Dean Smith has said Aston Villa must "learn our lessons" from their heavy Premier League defeat to Leicester City when the two teams face each other in the League Cup semi-final first leg on Wednesday.

Villa were beaten 4-1 at Villa Park by Brendan Rodgers' Leicester side last month in a display that showed the gulf in class between the two teams. Promoted Villa are currently 17th in the league standings, one point above the relegation zone, while high-flying Leicester are second.

Villa will have their chance to exact revenge in the League Cup and host the first leg on Wednesday night, although manager Smith has warned that a repeat performance of the league encounter will likely result in another loss.

“We’ve got to learn our lessons [from the Premier League defeat]. We were very open in our defending and they counter attacked very well," Smith told the Aston Villa website.

“It’s easy to forget that we had the best chance after 12 minutes and hit the crossbar. All in all, they were better than us at Villa Park and we’ve got to make sure we learn our lessons.

“If you sit back and defend against Leicester, they’ve got players who can hurt you.”

Playing the home fixture second in a two-legged cup tie is often seen as an advantage – a view supported by Smith, who said: “I prefer to play away first, but the key thing is making sure we’re still in the tie. We’ve got to strike the balance between being cautious and trying to win."

Villa have been hit by a string of long-term injuries to key players in recent weeks. Striker Wesley, goalkeeper Tom Heaton, and midfielder John McGinn will all be sidelined for the foreseeable future, which has forced Smith to enter the transfer market for new recruits, and a loan deal for Chelsea's Danny Drinkwater was completed on Tuesday.

Although Drinkwater's career has stalled since a £35 million (Dh168.7m) move to Chelsea in the summer of 2017, Smith has no doubt the 29-year-old midfielder can recapture the form that helped Leicester win the Premier League title that year.

"Everybody knows about him from his Premier League-winning season with Leicester," Smith said of Drinkwater, who is cup-tied for the semi-final. "He got the move to Chelsea and it probably didn't work out the way he would have liked.

"Then he had a loan move to Burnley this season and he probably hasn't played as many games as he would have liked, but from meeting him I liked the hunger –  I saw it in his eyes.

"He has a lot to prove now because it hasn't happened for him at Chelsea. We're going to give him an environment where he can flourish and he looks really hungry."

"It's been frustrating for him but you only have to look at the quality at Chelsea to realise it's a tough squad to break into for a lot of people they've signed through the years.

"Changes in managers don't help players either. But from what I've heard from other people, and himself, is his hunger and desire to play has always been there.

"Attitude is the biggest thing for me. The top ones are those with the best attitude. He certainly has that."

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer