BREAKING: Nottingham Forest Sanctioned For Financial Rule Breach, Docked Four Points

BREAKING: Nottingham Forest Sanctioned For Financial Rule Breach, Docked Four Points

Nottingham Forest have reportedly been deducted four points for violating Premier League profit and sustainability regulations, according to BBC Sport.

The immediate point deduction has caused Forest to fall below Luton Town into the Premier League’s relegation zone.

They are the second club in the top flight to face penalties for profit and sustainability regulation breaches, following Everton’s 10-point deduction in November, which was later reduced to six points upon appeal.

Forest, who are expected to challenge the decision, underwent a hearing on 7 and 8 March.

Premier League clubs are allowed a maximum loss of £105 million over three seasons, averaging £35 million per season.

However, since Forest spent two seasons in the Championship during the evaluation period, their maximum allowable loss was capped at £61 million.

According to league regulations, any appeals should be completed by no later than May 24, five days after the current season concludes.

Forest faced charges in January, and both they and Everton acknowledged breaching the league’s profitability and sustainability standards in a statement by the Premier League.

Forest, with the assistance of prominent sports lawyer Nick de Marco, are believed to have built their defense around the transfer of Brennan Johnson to Tottenham Hotspur in September.

The deal, valued at over £45 million, occurred after the financial reporting deadline. Forest argue that holding onto Johnson until a later date allowed them to secure a higher transfer fee compared to if they had sold him before June 30th.