Everton have been deducted 10 points by an independent commission after being found to have breached Premier League financial rules.
The league referred Everton to the commission in March for an alleged breach of its profitability and sustainability rules (PSRs) in the period ending in the 2021-22 season.
The commission imposed the immediate points deduction which will see Everton drop from 14th in the standings into the relegation zone, above bottom side Burnley only on goal difference.
Financial rules allow clubs to lose a maximum £105million ($A201 million) over a three-year period or face sanctions.
Everton issued a statement confirming their intention to appeal against the sanction.
The Premier League said in a statement published on its official website: “During the proceedings, the club admitted it was in breach of the PSRs for the period ending Season 2021/22 but the extent of the breach remained in dispute.
“Following a five-day hearing last month, the Commission determined that Everton FC’s PSR Calculation for the relevant period resulted in a loss of £124.5million ($A239 million), 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.”
Everton said they were “shocked and disappointed” by the sanction imposed by the commission.
“The club believes that the Commission has imposed a wholly disproportionate and unjust sporting sanction,” the Toffees statement read.
“The club has already communicated its intention to appeal the decision to the Premier League.
“Everton maintains that it has been open and transparent in the information it has provided to the Premier League and that it has always respected the integrity of the process.
“The club does not recognise the finding that it failed to act with the utmost good faith and it does not understand this to have been an allegation made by the Premier League during the course of proceedings.
“Both the harshness and severity of the sanction imposed by the commission are neither a fair nor a reasonable reflection of the evidence submitted”
Five clubs – Leeds, Nottingham Forest, Southampton, Leicester and Burnley – were notified in May that if the complaint against Everton was upheld they would have 28 days to inform the commission that they wished to pursue a claim of compensation.
Eden
Roar Rookie
Yes Everton breached the rules and yes I am a fan, otherwise I wouldn’t go past the headline like most fans. Fact is the rules changed to include interest on stadium loans, which is unfair and counter logical. Also the punishment is too harsh. 10 of a maximum 12 points for a 16% breach
Ed Flanders
Roar Rookie
I'm not complaining about the timing. I'm simply saying the reality of the timing means that the punishment doesn't fit the crime. Three relegated clubs are suing Everton for damages. Burnley (because the financial malpractice occurred during 2021/22 and 10 points would have seen Everton relegated instead), Leicester and Leeds (both got relegated last year before Everton could be punished). The bottom line is that Everton will get away with this, and three other clubs who abided by the rules are losing out on their share of PL TV riches. Of course, you can't change the past when it comes to pro/rel, so what is done is done there. But for Man City they have to get this right. Points deductions won't be enough. They need past domestic titles stripped, and future bans from European qualification.
Waz
Roar Rookie
You can’t complain about the timing — it takes time to assemble and prosecute any case. Even the guilty appeal hoping a technicality gets them off do prosecutors are slow and deliberate.
Ed Flanders
Roar Rookie
the punishment also doesn't fit the crime because of the timing. Had these punishments been implemented even 6 months ago, Everton would be relegated. Everton are better this year. 10 points will ensure they can't make Europe, but they aren't a threat to be relegated.
Brendan
Roar Pro
Everton have a sparkling new stadium to be opened soon.
Waz
Roar Rookie
It was a genuine question as I don’t follow the EPL closely (my daughter follows the WSL avidly, along with ALW mind you so we can talk till the cows come home on that one). The punishment seems to fit the crime, at least reading what you’ve said and the article above. The question is are all clubs treated equally and if not, presumably that then is corruption? Personally I believe CFG have become untouchable in World Football; their actions have brought the A League to the brink of collapse and they hosted one of the worst acts of football violence this country has seen (the infamous Melbourne derby) and they got away with zero accountability - the home club never gets away with it! So Man City will likely get away with it and that will support your argument: if others get the same fate then fair enough, but if not …
Chris Boyes
Roar Rookie
The city investigation is in process (the number of charges mean the investigation will take longer) and points deductions are entirely appropriate. Otherwise wealthy clubs will just treat the fine as the cost of doing business. Everton cheated, they breached the cap to get an advantage, while other teams didn't so they need to be punished. Tell me you're a toffees fan without telling me? Hopefully city (and Chelsea) will get hit with points deduction that sends them down.
Eden
Roar Rookie
The punishment doesn’t fit the crime. It is unashamedly an attempt to make an example of an easy target club to avoid government regulation for a competition that is increasingly at the behest of dodgy money. Everton went 19.5m over a 120threshold, during COVID which impacted their ability to meet spending plans - eg unable to sell Tosun to Turkey due to a pause in transfers. The breach was mainly driven by a change in rules which meant infrastructure costs were factored in, so the stadium which had just started construction became a problem. Everton mentioned this at the time and have worked to resolve their finances. All the big spending has stopped and they have shed players often forced to do so in a rush to abide the stricter rulings. Despite this, they are given a footballing punishment, for a financial breach, and it is 10 points, more than Portsmouth got for going into administration. EPL also doing nothing about about man city having 115 charges (Everton have 1), or Chelsea also having issues. It was an independent commission but PL is in the media recommending 12 point deduction while the ruling is still going on.
Waz
Roar Rookie
Why?
Eden
Roar Rookie
The EPL is a joke