Everton has been handed a significant 10-point deduction for breaching the Premier League’s profit and sustainability regulations.
This penalty stands as the most substantial sporting sanction in the league’s history, pushing Everton down to 19th place in the table with a revised total of four points.
The club said it was “both shocked and disappointed” by the “wholly disproportionate and unjust” ruling.
Everton has announced their intention to contest the decision through an appeal process.
The Premier League had referred Everton to an independent commission back in March, although specific details regarding the club’s alleged breach were not disclosed.
In March, Everton reported financial losses for the fifth consecutive year, revealing a deficit of £44.7m for the 2021-22 period.
The Premier League allows clubs to incur losses of up to £105m over a three-year span, and Everton acknowledged breaching these profit and sustainability rules for the period ending in 2021-22.
After a five-day hearing held in October, the commission ruled in favor of the Premier League, determining that Everton’s losses during that timeframe exceeded the allowed limit, totaling £124.5m.
In a statement, Everton said: “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.”