Original Umbro football training jacket Rangers FC 2007/08

On the domestic front, the race for the Scottish Premier League continued until the final matchday of the season. Both Celtic and Rangers were tied on 86 points going into their games (against Dundee United and Aberdeen respectively) on 22 May 2008, but Celtic were top of the table due to having a better goal difference of 57, six ahead of Rangers. This did not prove to be decisive, as Rangers surrendered their hopes of landing the championship with a 2–0 defeat away to the Dons, while Celtic beat Dundee United 1–0. The club had had a ten-point lead in late March, although their nearest rivals, Celtic, had games in hand at the time. However having to play four competitive matches (including a UEFA Cup Final) in the last eight days of the season proved just too much of a problem for Rangers to overcome.

The club appeared in its first final since 2005. They played Dundee United on 16 March 2008 and won the League Cup on penalties. The match was tied 2-2 after extra time, with both goals coming from Kris Boyd who also scored the winning spot kick.

They also reached the final of the Scottish Cup for the 49th time. They beat St Johnstone 4–3 on penalties in the semi-final after the score was tied at 1-1 after extra time. The club played Queen of the South in the final on 24 May 2008 and won the match 3-2 thanks to goals from DaMarcus Beasley and a double from Kris Boyd.