Nov 17 (Reuters) – Everton became the first Premier League club to be deducted points for breaching profitability and sustainability rules (PSR) on Friday, when the league docked the Merseyside club 10 points over their finances in the 2020-21 season.
An independent commission imposed an immediate deduction which will see Everton drop from 14th in the standings into the relegation zone with four points, above bottom side Burnley on goal difference.
The club described the decision as unjust and said it would appeal.
The Premier League said it had issued a complaint against the Merseyside club and referred the case to the independent commission earlier this year.
“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,” the league said in a statement.
“The Commission determined that Everton FC’s PSR Calculation for the relevant period resulted in a loss of 124.5 million pounds, as contended by the Premier League, which exceeded the threshold of 105 million pounds permitted under the PSRs.“
Everton’s most recent figures showed a fifth straight year of losses, with their total loss over that period amounting to over 430 million pounds ($534 million).
The club said they had posted a loss of 44.7 million pounds for the 2021-22 season earlier this year.
After three straight years of losses in excess of 100 million pounds, Everton said they had made significant reductions to their losses, down 76 million pounds from the previous year’s loss of 121 million pounds.
While Everton’s 10-point deduction for breaching the league’s financial rules is unprecedented, clubs in England’s top flight have been docked points before.
Everton said the sanction was “wholly disproportionate and unjust” and announced its intention to appeal the decision to the Premier League.
Under new ownership, the U.S. private equity firm declined to comment on the points deduction while the change of control process remains ongoing.
Earlier this year, Manchester City were also referred to an independent commission over more than 100 alleged breaches of finance rules since the club were acquired by the Abu Dhabi-based City Football Group. No verdict has been reached in that case.
“The club will also monitor with great interest the decisions made in any other cases concerning the Premier League’s Profit and Sustainability Rules,” Everton added.
Caroline Dinenage, Chair of the Culture, Media and Sport Committee, said Everton’s sanction was another sign the sport needed an independent regulator.
It is clear that the status quo cannot continue,” Dinenage said in a statement.
I repeat my call for the government to urgently introduce the Football Governance Bill, as announced in the King’s Speech, to enable a statutory independent regulator to be in place as soon as possible.
($1 = 0.8047 pounds)($1 = 0.9209 euros)
Reporting by Rohith Nair in Bengaluru; editing by Philippa Fletcher and Toby Davis
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Rohith reports on soccer, tennis, cricket, MotoGP and many more sports. He previously worked at Sportskeeda and has been a sports journalist for more than a decade. privacy principles and communicate with others using clear and respectful language.
Everton fuming after shock 10-point deduction for finance breaches
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