Premier League statement

An independent Commission has given an immediate two-point deduction to Everton FC for a breach of the Premier League’s Profitability and Sustainability Rules (PSRs) for the period ending Season 2022/23. 

Over a three-day hearing last month, the independent Commission heard evidence and arguments from the club in respect of a range of potential mitigating factors for its admitted breach of £16.6million, including the impact of its two successive PSR charges. Having done so, the Commission determined the appropriate sanction to be a two-point deduction, taking effect immediately.

The independent Commission reaffirmed the principle that any breach of the PSRs is significant and justifies, indeed requires, a sporting sanction.

Click here to read the independent Commission’s full written reasons. 

Commissions are independent of the Premier League and member clubs. The members of the Commission were appointed by the independent Chair of the Premier League Judicial Panel.

EFL Statement: Leicester City

Earlier this season, based on financial information submitted by the Club, the EFL’s independent Club Financial Reporting Unit (CFRU) concluded that the Club was forecasting to breach the Profitability and Sustainability (P&S) loss limits for the three-year period ending with financial year 2023/24.   

The CFRU determined that it was appropriate under P&S Rule 2.9 to require Leicester City Football Club to submit a business plan to demonstrate how it planned to comply with the EFL’s P&S spending limits.  

The Club argued that the relevant P&S Rule did not apply to it, meaning the CFRU had no right to require a business plan in respect of Season 2023/24.   

That matter was referred by the Club to the independent Club Financial Reporting Panel (CFRP) which concluded that under the Rules as currently written, Rule 2.9 did not apply to the Club and so it was under no obligation to submit and agree to a business plan.  

The CFRP decision has been published today and will help in informing the EFL on the potential Rule amendments that will be proposed for consideration by Championship Clubs in the future to ensure all Clubs are treated equally under the Rules.  

Leicester City is responsible for meeting its obligations in respect of the P&S Rules which will be assessed along with the submissions of all other Clubs in accordance with the League’s established processes. 

The League will be making no further comment on this matter at this time.  

The CFRP decision can be found here

Premier League statement

The Premier League has today referred Leicester City FC to an independent Commission for an alleged breach of Profitability and Sustainability Rules (PSRs) and for failing to submit their audited financial accounts to the League.

The alleged breach relates to the assessment period ending Season 2022/23, when the club was a member of the Premier League. 

Leicester City were relegated to the EFL Championship prior to the introduction of the Premier League’s new Standard Directions, which prescribe a timeline within which PSR cases should be heard. Therefore, the proceedings will be conducted in accordance with a timetable to be set by the independent Commission, and its final decision will be published on the Premier League’s website. 

Premier League statement

An independent Appeal Board has concluded that the sanction for Everton FC’s breach of the Premier League’s Profitability and Sustainability Rules (PSRs), for the period ending Season 2021/22, will be an immediate six-point deduction.

This follows the club’s appeal of an independent Commission’s decision in November 2023 to impose a 10-point deduction for the club’s breach of the PSRs.

The appeal was heard over three days earlier this month, by an Appeal Board comprising Sir Gary Hickinbottom (Chair), Daniel Alexander KC and Katherine Apps KC.

Everton FC appealed the sanction imposed against it on nine grounds, each of which related to the sanction rather than the fact of the breach, which the club admitted.

Two of those nine grounds were upheld by the Appeal Board, which has substituted the original points deduction of 10 for six.

This revised sanction has immediate effect and the Premier League table will be updated today to reflect this.

Click here to read the independent Appeal Board’s full written reasons, which includes a two-page summary of its decision.

Appeal Boards are independent of the Premier League and member clubs. The members of the Appeal Board were appointed by the independent Chair of the Premier League Judicial Panel.

The Premier League Board is satisfied with today’s decision and that the independent disciplinary process, clearly set out in its Rules and agreed by all clubs, has been followed throughout.