Everton are free to spend and are not awaiting approval from the Premier League to commence their transfer activity.
The ECHO understands that although the club remains transparent and open with the governing body, no 'checks' on spending or such matters are in place. The club is aware of the Financial Fair Play issues they face, which is why they speak to Premier League regularly, but believe they don’t need, and never have needed, permission from them to spend.
Everton have recorded losses of £370 million over the past three years of Farhad Moshiri’s tenure. The rules allow for losses of no more than £105 million over three years with a mean taken for the 2019-20 and 2020-21 seasons, which were affected by Covid-19.
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Everton announced losses of £120.9 million in the last financial year, £139.9 million in 2020, £111.8 million in 2019 and £13.1 million in 2018, but have also submitted figures to the Premier League that estimate the overall cost of the pandemic to be between £170 million and £220 million.
The sale of Richarlison to Tottenham Hotspur last week allowed the proceeds of the transfer to be factored into their annual accounts. That meant Everton fell in line with the Premier League’s profit and sustainability rules, and, more importantly, means the club will avoid the threat of punishment.
The ECHO also understands that claims Everton were forced to sell Richarlison due to a 'cash crisis and concerns they may struggle to keep servicing their wage bill without player sales' are incorrect.
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