Everton have been hit with a 10-point deduction that will come into effect immediately.
The Toffees have been handed the largest points deduction in the competition's mhistory. They were charged ofer profitability and sustainbility rules which usually comes with a fine or points deduction. It was reported that Everton recorded losses of £371.8m over the last three years, and that teams are only allowed to a lose a maximum of £105m over a three-year period.
Sean Dyche's side are now on four points which ranks them in 19th behind Sheffield United who move up a place, and just a point ahead of basement side Burnley. Everton become just the third team to receive a points deduction mid-season. Portsmouth were deducted nine points for enterting administration in the 2009/10 season, whilst Middlesbrough were handed a three-point deduction for failing to fulfil a league match against Blackburn Rovers in 1997.
A statement from the Premier League read: "An independent Commission has imposed an immediate deduction of 10 points on Everton FC for a breach of the Premier League’s Profitability and Sustainability Rules (PSRs).
"The Premier League issued a complaint against the Club and referred the case to an 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.
"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, 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."
In response to the deduction, Everton said: "The club believes that the commission has imposed a wholly disproportionate and unjust sporting sanction. 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.
“The club will also monitor with great interest the decisions made in any other cases concerning the Premier League’s profit and sustainability rules.”