News broke on Friday that City had been found guilty on all but one of the 115 charges laid by the Premier League in February 2023, charges the club have always strenuously denied.
The charges date back to the 2009-10 season, since which time City have won multiple major trophies.
City are expected to appeal, and Bernstein, who was City chairman between 1998 and 2003, would want to see that process dealt with quickly.
He told Times Radio: “I felt absolutely awful, I felt in shock yesterday, actually. I think you’ve asked me on the programme because of my time as chair of City and the FA, but basically I’m a fan of Manchester City and have been a fan for 70 years.
“It’s really awful that this great period of success, which followed many years of being less successful, when I was chair I think I helped get the club out of a very difficult period and started the road to better things.
“But to see all this tarnished in this way is very sad, I feel particularly bad for the wonderful supporters of the club who’ve stayed with the club through thick and thin. It’s a pretty bad day I think for the fans in blue of Manchester.”
Asked what the correct punishment would be, Bernstein said: “First of all, the timing of this I think is crucial. This whole process has taken too long already.
“So the appeal process now has to be done quickly because…you’ve got the club playing with this cloud over its head and it’s just not viable.
“The appeal process cannot go on for year after year, I think that would be a disaster. Not just for this particular case but for English football generally. The timing is crucial.
“I can’t give a view on the punishment. If they are found, after the appeal, guilty of 115 charges, my beloved club is going to face a very severe penalty.
“All I would say is that money is not sufficient, it would have to be something, unfortunately, more drastic than that.”
Culture secretary Lisa Nandy described the case as “unsettling” for football fans and hopes for a swift resolution.
Speaking on BBC Radio Five Live, she said: “I think most football fans will be feeling this is not a good moment for football as a whole and I think Manchester City fans will be feeling very anxious about what happens next.
“You’ll know this is a really longstanding investigation, it dates all the way back to allegations that begin in 2009. There is still a way to go with the investigation, Manchester City is contesting the charges.
These are extremely concerning allegations of significant failures in financial reporting and transparency at the top of English football – during a period of time in which @ManCity won multiple trophies.
The time taken to investigate the matter and the lack of clarity even now…
— Nigel Huddleston MP (@HuddlestonNigel) September 26, 2026
“The football fans need to know the rules are applied fairly and consistently, they need to know they’re upheld and they need to know the right decision has been reached.
“We do have a way to go with this, it’s very unsettling for football fans and I hope that it can be resolved as swiftly as possible.”
Nigel Huddleston, who was Shadow Secretary of State for Culture, Media and Sport from 2025 to 2026, added on X: “Whatever the next steps are, they must be conducted in an accelerated and more transparent manner or risk further damage to the reputation and integrity of English football and more unnecessary anxiety for millions of football fans.”
A City spokesperson on Friday said: “The Premier League process remains ongoing, with significant elements to be completed, and subject to strict confidentiality. As such Manchester City FC’s position remains consistent with the club’s statement of February 2023.
“The club has diligently respected due process for eight years on the basis that the Premier League board and executive would behave as an independent, impartial and fair-minded regulator, free from partisan influence.”