Everton have been handed a ten-point deduction over breaches of the Premier League’s financial fair play rules in a move that immediately plunges the club into a relegation fight.
The penalty is the heftiest ever dished out by the League and will see Sean Dyche’s side slip from their current position of 14th to second-bottom, above Burnley only on goal-difference.
The Merseyside club said it was “both shocked and disappointed” by the sanction, which it called “wholly disproportionate and unjust”. The Toffees have already announced their intention to launch an appeal, which must be heard by the end of the season.
“Both the harshness and severity of the sanction imposed are neither fair, nor a reasonable reflection of the evidence submitted,” the club said.
The Toffees were referred to an independent commission in March following a number of breaches of the Premier League’s profit and sustainability rules relating to their 2021/22 season accounts.
A Premier League statement released today explained: “During the proceedings, the Club admitted it was in breach of the PSRs for the period ending Season 2021/22 but the extent of the breach remained in dispute.
“Following a five-day hearing last month, the Commission determined that Everton FC’s PSR Calculation for the relevant period resulted in a loss of £124.5million, as contended by the Premier League, which exceeded the threshold of £105million permitted under the PSRs.
“The Commission concluded that a sporting sanction in the form of a 10-point deduction should be imposed. That sanction has immediate effect.”
The punishment, if upheld, threatens to have significant ramifications, with Leeds, Burnley and Leicester City having previously warned of legal action in the event of a guilty verdict. All three clubs have been narrowly relegated from the top-flight over the past two seasons while Everton survived.
There will also now be heightened scrutiny over the Premier League’s handling of a separate case involving Manchester City, who were charged with 115 breaches of financial regulations in February.
The Everton statement added that the club would “monitor with great interest the decisions made in any other cases concerning the Premier League’s profit and sustainability rules”.
The Premier League in February charged Manchester City with more than 100 breaches of its financial rules between 2009 and 2018.
Chelsea are being investigated by the Premier League over potential financial rule breaches between 2012 and 2019, when Roman Abramovich owned the club.
