Head-to-head: Man City and Arsenal are separated by one point with five games.Arsenal threw away two vital points in the race for third. Manchester United – in second place and one point behind the leader.
The 10-man hosts took the lead through Steven Gerrard's volley just after half-time but were pegged back by a fine Rafael goal and then Robin van Persie's penalty kick won it.
Manchester City went ahead as Joleon Lescott powered home a header from a corner before the break, but Laurent Koscielny levelled late on.
Standings after today's matches