Three Premier League clubs against 'scrapping points deductions' with new luxury tax proposed

Three Premier League clubs against 'scrapping points deductions' with new luxury tax proposed

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Stuart Ballard

By Stuart Ballard


Published: 04/04/2024

- 13:50

Everton and Nottingham Forest have both been handed points deductions this season for breaches of the Premier League's financial rules.

There are reportedly three Premier League clubs against the idea of 'scrapping points deductions' altogether after both Everton and Nottingham Forest were penalised for breaching financial regulations.

Everton saw their original 10-point deduction for breaches of the Premier League's Profit and Sustainability Rules (PSR) reduced to six on appeal.


Forest were the next club to fall foul to breaching the threshold for last season by £34.5million.

The club were left 'dismayed' and 'disappointed' with the Premier League, who were said to have wanted eight points to have been the punishment.

The Premier League could vote to scrap points deductions

The Premier League could vote to scrap points deductions

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It's left both Forest and Everton battling against relegation with just a few weeks left of the season.

But the threat of being deducted points in the future could be a thing of the past, according to the Daily Mail.

It's claimed that discussions are being held to 'abolish points deductions' as punishment for breaching financial regulations.

The report adds that 'as many as 17 of the 20 clubs are leaning towards significant change'.

Premier League clubs are set to hold a meeting to discuss 'radical reform' at the end of the season in June.

It appears as though there are frustrations with the way PSR has been used to punish both Everton and Forest.

Instead, Premier League clubs are considering proposing a 'luxury tax' like what is in place in the NHL and NBA in America.

It would see the clubs that overspend given a significant financial punishment - potentially tens of millions - that would be redistributed to the other teams that comply with the rules.

Nottingham Forest were deducted four points

Nottingham Forest were deducted four points

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Both Everton and Forest have spent big in the transfer market in recent years in an attempt to climb higher up the league table.

Forest argued after they were given a four-point deduction that the harsh punishment could have a knock-on effect to aspiring clubs who want to make it to the Premier League.

Their statement read: "Of wider concern for all aspirant clubs is the disturbing effect this decision will have on the operation of the player trading model.

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Everton have been deducted six points

Everton have been deducted six points

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"This is the only model by which clubs outside of the small group at the very top end of the Premier League can realistically advance up the football pyramid.

"The rationale of the Commission is that clubs should only invest after they have realised a profit on their player development.

"This reasoning destroys mobility in the football pyramid and the effect of the decision will be to drastically reduce the room for manoeuvre for all such clubs, leading to the stagnation of our national game."

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