Nottingham Forest Handed Four-Point Deduction For Breaching Premier League’s Financial Rules—-Nottingham Forest have been handed a four-point deduction following a breach of the Premier League’s profitability and sustainability rules (PSR).
Forest were referred to an independent commission in January after the club reported losses that exceeded the allowed amount over the three-year reporting cycle ending in the 2022-23 season.
Under the guidelines, they could have been fined or deducted points for the breach, and their four-point deduction now drops them to 18th in the Premier League.
The new Premier League table
| POSITION |
TEAM |
PLAYED |
GD |
POINTS |
|
1
|
 Arsenal
|
28
|
46
|
64
|
|
2
|
 Liverpool
|
28
|
39
|
64
|
|
3
|
 Manchester City
|
28
|
35
|
63
|
|
4
|
 Aston Villa
|
29
|
18
|
56
|
|
5
|
 Tottenham Hotspur
|
28
|
17
|
53
|
|
6
|
 Manchester United
|
28
|
0
|
47
|
|
7
|
 West Ham United
|
29
|
-4
|
44
|
|
8
|
 Brighton & Hove Albion
|
28
|
6
|
42
|
|
9
|
 Wolverhampton Wanderers
|
28
|
-2
|
41
|
|
10
|
 Newcastle United
|
28
|
11
|
40
|
|
11
|
 Chelsea
|
27
|
2
|
39
|
|
12
|
 Fulham
|
29
|
-1
|
38
|
|
13
|
 Bournemouth
|
28
|
-11
|
35
|
|
14
|
 Crystal Palace
|
28
|
-15
|
29
|
|
15
|
 Brentford
|
29
|
-13
|
26
|
|
16
|
 Everton
|
28
|
-10
|
25*
|
|
17
|
 Luton Town
|
29
|
-18
|
22
|
|
18
|
 Nottingham Forest
|
29
|
-16
|
21**
|
|
19
|
 Burnley
|
29
|
-34
|
17
|
|
20
|
 Sheffield United
|
28
|
-50
|
14
|
|
|
|
|
|
*Deducted six points
|
|
|
|
|
|
**Deducted four points
|
They are the second Premier League team this season to be deducted points following a PSR breach after Everton had 10 points docked in November. This was later reduced to six points following a three-day appeal. Everton could face a second points deduction this season after they were charged alongside Forest with another breach of PSR rules in January.
If Forest appeal, their case must be heard and concluded by April 15.
The Premier League has pencilled in May 24 as a backstop date for any appeal which comes after the end of the season on May 19. This date comes ahead of the league’s annual general meeting.
How did we get here?
Forest were referred to the commission by the Premier League in January for the alleged breach, which concerns the PSR calculation for the three-year reporting period ending with the 2022-23 season.
Forest stated they would “continue to cooperate fully with the Premier League on this matter and are confident of a speedy and fair resolution”.
Forest have signed 42 players since securing promotion in May 2022, with owner Evangelos Marinakis sanctioning a transfer spend of around £250million ($318m) to help the club establish themselves in the top flight.
Forest believed they had worked within the regulations when it came to the allowable losses with a lot of the issue centring around Brennan Johnson’s sale to Tottenham Hotspur.
The club’s argument — which they have made in conversations with the Premier League — was that they could have sold Johnson earlier in the window but doing so at that point would have meant accepting a markedly lower price. His sale did not go through until September 1, well after the financial year ended, for £47.5m.
New guidelines aimed at fast-tracking PSR decisions have been introduced to ensure any basic breaches of the regulations are dealt with in time for punishments, such as points deductions, to be levied in the same season as the charge is brought.
All clubs had to submit their accounts for 2022-23 by December 31 — rather than in March as they had previously — with any breaches and subsequent charges confirmed 14 days later.