Leeds United’s former Premier League rivals, have been docked points for violating profitability and sustainability rules.

Everton deducted 10 points after beating Leeds United to survival as the likelihood of a damages suit is assessed Everton, Leeds United’s former Premier League rival, has been deducted points for violating profitability and sustainability rules.

The Premier League has docked Leeds United’s former Premier League rivals Everton ten points. The Toffees have been involved in legal discussions with the Premier League over alleged breaches of profitability and sustainability rules, which serve as Financial Fair Play measures in the English top flight.

It has now been confirmed that the Toffees have lost their battle, dropping to 19th place in the table and dropping from 14 points to level on four points with bottom club Burnley. “An independent Commission has imposed an immediate deduction of 10 points on Everton FC for a breach of the Premier League’s Profitability and Sustainability Rules (PSRs),” the Premier League said in a statement.

“Earlier this year, the Premier League filed a complaint against the Club and referred the case to an independent Commission.” During the proceedings, the Club admitted that it had violated the PSRs for the period ending in Season 2021/22, but the extent of the violation was disputed.

“Following a five-day hearing last month, the Commission determined that Everton FC’s PSR Calculation for the relevant period resulted in a loss of £124.5 million, as claimed by the Premier League, exceeding the £105 million threshold allowed under the PSRs.” The Commission determined that a 10-point deduction should be imposed as a sporting sanction. That sanction is effective immediately.”

Everton has issued their own statement in response to the decision, saying, “Everton Football Club is both shocked and disappointed by the Premier League’s Commission’s ruling.” The Club believes the Commission imposed a completely disproportionate and unjust sporting sanction. The Club has already informed the Premier League of its intention to appeal the decision. The appeal process will now begin, and the Club’s case will be heard in due course by an Appeal Board appointed in accordance with Premier League rules.

“Everton maintains that it has always been open and transparent in providing information to the Premier League and that it has always respected the process’s integrity.” The Club does not accept the finding that it failed to act in good faith, and it does not believe this was an allegation made by the Premier League during the course of the proceedings. The harshness and severity of the Commission’s sanction are neither fair nor reasonable in light of the evidence presented.

“The Club will also closely monitor any decisions made in other cases involving the Premier League’s Profit and Sustainability Rules.” Everton will not be able to comment further until the appeals process is completed.”

Leeds previously attempted to take legal action against Everton for their breaches, threatening a £200 million lawsuit for relegation damages, given that they were locked in a battle with the Toffees to stay in the division last season. Other parties were involved in the legal discussions, which were eventually dropped after clubs were assured that Everton had followed the rules that season.

The Toffees will appeal the deduction, and the likelihood of a damages suit being filed against the Merseyside club by Leeds and/or other recent Premier League entities is extremely unlikely, given the authorities’ previous actions against Everton.

Leeds were docked ten points for going into administration during the 2005/06 season, which resulted in the club’s relegation to League One. United were then docked 15 points at the start of the following season for incorrectly exiting administration.