Everton And Nottingham Forest Charged With Breaking Premier League Financial Rules

Everton and Nottingham Forest have both been charged by the Premier League for breaching financial rules. The two clubs have published statements in response.

Everton and Nottingham Forest have both been charged by the Premier League for breaching its financial rules.

The two clubs have been referred to an independent commission over alleged breaches of profit and sustainability rules in their accounts for 2022/23.

Premier League rules state that clubs can lose a maximum of £105 million over a three-season period, or £35m in a single season, before facing a punishment.

Clubs that lose more than this run the risk of being fined or having points deducted.

Everton received a 10-point penalty in November after making excessive losses during a three-year period ending in the 2021/22 season.

An appeal has been lodged by Everton regarding that punishment but the club could now be facing a further penalty.

A Premier League statement published on Monday said that Everton and Nottingham Forest "have each confirmed that they are in breach of the league's profitability and sustainability rules".

The statement added: "This is as a result of sustaining losses above the permitted thresholds for the assessment period ending season 2022-23.

"In accordance with Premier League rules, both cases have now been referred to the chair of the judicial panel, who will appoint separate commissions to determine the appropriate sanction."

Everton and Nottingham Forest have been charged with breaching the Premier League's financial rules :: IMAGO/PA Images/Isaac Parkin/Tim Goode

Everton responded with a club statement that read: "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."

Meanwhile, Forest issued a statement that 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."