Now confirmed:
Everton and Nottingham Forest charged with breaching Premier League Profitability and Sustainability Rules
Monday 15 January 2024 16:12, UK
Everton and Nottingham Forest have been charged with breaching Premier League Profitability and Sustainability Rules.
Premier League clubs are permitted to lose a maximum of £105m over a three-year period (£35m a season).
In November, Everton were deducted 10 points - the largest sanction in the history of the Premier League - for a breach of the profit and sustainability rules. The club are appealing against their punishment.
In the simplest terms, when every Premier League team tots up their annual accounts, they can have made a loss no greater than £105m across the previous three seasons.
Clubs can only lose £15m of their
own money across those three years. So that's no more than £15m extra on outgoings like transfer fees, player wages and, in a lot of clubs' cases, paying off former managers compared to their income from TV payments, season tickets, selling players and so on.
The other £90m of any £105m must be guaranteed by their owners buying up shares, known as 'secure funding', and essentially means bankrolling the club.