Everton and Nottingham Forest charged with breaching Premier League Profitability and Sustainability Rules

Everton and Nottingham Forest have been charged by the Premier League for breaching Profitability and Sustainability Rules (PSR), and both could now face points deductions.

Under these rules, clubs are only allowed to record losses of £105m over a three-year period, or £35m-a-season in that time span. Investments in youth development, infrastructure, community and women's Football can be deducted from these costs.

The two clubs reported losses exceeding these amounts and have now been referred to an independent commission to decide on the case and a potential punishment.

Everton, who have already been deducted ten points this season for a previous breach of regulations, said in a statement: "Everton Football Club acknowledges the Premier League’s decision to refer a breach of Profit & Sustainability rules (PSR) for the assessment period ending with the 2022/23 season to an independent Premier League commission.

"This relates to a period which covers seasons 2019/20, 2020/21, 2021/22 and 2022/23. It therefore includes financial periods (2019/20, 2020/21 and 2021/22) for which the Club has already received a 10-point sanction. The Club is currently appealing that sanction.

"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."

A statement from Forest read: "Nottingham Forest acknowledges the statement from the Premier League confirming that the club has today been charged with a breach of the league’s Profitability and Sustainability Rules.

"The club intends to continue to cooperate fully with the Premier League on this matter and are confident of a speedy and fair resolution."

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