Published on 17.11.2023
Everton has swiftly incurred a 10-point deduction for violating the Premier League’s profit and sustainability rules, marking the most substantial sporting penalty in the competition’s history.
This positions Everton at 19th place in the table, with a revised total of four points. The club expressed profound shock and disappointment, deeming the ruling wholly disproportionate and unjust. Everton intends to contest the decision through an appeal.
"It just feels excessive!"
— Sky Sports News (@SkySportsNews) November 17, 2023
Jamie Carragher says he can understand Everton's frustration with the Premier League's sanction of the club pic.twitter.com/qONSuzu69A
The Premier League initiated an independent commission referral for Everton in March without disclosing the specific details of the alleged breach. Everton, which reported a £44.7m deficit in the 2021-22 financial year, acknowledged violating profit and sustainability rules, allowing clubs to incur losses of up to £105m over a three-year span. The commission, following a five-day hearing in October, sided with the Premier League, determining Everton’s losses for the period to be £124.5m.
In response, Everton released a statement asserting non-recognition of the finding that the club failed to act in utmost good faith. The severity of the sanction, deemed harsh and disproportionate, is considered by Everton to be an unfair reflection of the submitted evidence. The club will keenly observe decisions in other cases concerning the Premier League’s profit and sustainability rules.
This points deduction comes amid significant uncertainty for Everton, with owner Farhad Moshiri currently in the process of selling his 94% stake to American investment fund 777 Partners. The sale, which was progressing toward completion by next month before this ruling, is undergoing regulatory procedures.
In Premier League history, only two other clubs have faced a points deduction. Middlesbrough incurred a three-point penalty in 1996-97 for not fulfilling a fixture against Blackburn, and in 2010, Portsmouth received a nine-point deduction after entering administration. Neither club managed to avoid relegation following these sanctions.
