Everton and Nottingham Forest face points deduction after Premier League FFP breach charges

Everton and Nottingham Forest have been referred to an independent commission over alleged breaches of the Premier League’s profitability and sustainability regulations (PSR).

Both clubs were accused on Monday of falling foul of the league's financial rules, with new guidelines having been introduced to ensure basic breaches are dealt with in time for punishments to be levied in the same season as the charge.

The Premier League’s PSR rules dictate that clubs are allowed to lose a maximum of £105million or £35million per season over a rolling three-year period.

Everton are already in the process of appealing against a 10-point deduction they were dealt for breaching rules related to the 2021-22 season.

The guidelines dictate that Everton and Forest are now at risk of a fine or a points deduction.

Both clubs have prepared mitigation and are set to argue their case.

Forest are currently 15th in the Premier League table, four points adrift of the relegation places.

Everton are 17th, a point above 18th-placed Luton Town having played a game more.

In response to the latest charge, Everton criticised a "clear deficiency in the Premier League's rules".

Their statement read: "The Premier League does not have guidelines which prevent a club being sanctioned for alleged breaches in financial periods which have already been subject to punishment, unlike other governing bodies, including the EFL.

"As a result - and because of the Premier League's new commitment to deal with such matters "in-season" - the club is in a position where it has had no option but to submit a PSR calculation which remains subject to change, pending the outcome of the appeal.

"The club must now defend another Premier League complaint which includes the very same financial periods for which it has already been sanctioned, before that appeal has even been heard. The club takes the view that this results from a clear deficiency in the Premier League's rules.

"Everton can assure its fans that it will continue to defend its position during the ongoing appeal and, should it be required to do so, at any future commission - and that the impact on supporters will be reflected as part of that process."

Meanwhile, Forest said they intend to "continue to co-operate fully with the Premier League on this matter and are confident of a speedy and fair resolution."

Forest’s permitted losses are lower than £105million given the club were in the Championship during a portion of the accounting period. In turn, their top-flight figure amounts to £61million, which breaks down to £13million for the 2020/21 and 2021/22 campaigns, when they were in the Championship plus £35million for their full season in the top flight.

Forest have spent £250million on new signings since securing promotion, while Everton have had well-publicised financial issues under owner Farhad Moshiri and have a £760million new stadium in the works.

Topics: Football, Everton, Nottingham Forest, Premier League

Chris Byfield

Sport journalist with experience writing on football, rugby, boxing and the Olympics. I'm also a Crystal Palace fan. Please don't hold this against me.