Liverpool rivals, Chelsea and Man City have been warned that they could be relegated from the Premier League after Everton were deducted 10 points for breaching the Premier League’s Financial Fair Play rules.
Everton were charged by the Premier League in March for breaching FFP regulations after recording financial losses of £371.8 million over a three-year period when the competition’s limit is £105m.
The Toffees have now been handed a 10-point deduction by the Premier League, which sees them drop from 14th to 19th in the table.
City, meanwhile, were charged by the Premier League earlier this year for 115 breaches of its financial rules covering a period between 2009 to 2018.
Chelsea are also under investigation by the Premier League for potential financial rule breaches during Roman Abramovich’s reign.
And Stefan Borson, a lawyer who has advised City in the past, believes both Chelsea and Man City are at risk of a harsher punishment than Everton have received.
Borson posted on X: ‘Without seeing the judgement/award -10 points for Everton feels harsh for a straightforward FFP [Financial Fair Play] breach to me.
‘But reinforces that sanctions against City [if proven] and now Chelsea [if charged and admitted on the off-books payments] will be potentially relegation inducing.’
A statement from Everton on Friday read:
‘Everton Football Club is both shocked and disappointed by the ruling of the Premier League’s Commission.
‘The club believes that the Commission has imposed a wholly disproportionate and unjust sporting sanction. The club has already communicated its intention to appeal the decision to the Premier League.
‘The appeal process will now commence and the club’s case will be heard by an Appeal Board appointed pursuant to the Premier League’s rules in due course.
‘Everton maintains that it has been open and transparent in the information it has provided to the Premier League and that it has always respected the integrity of the process.
‘The club does not recognise the finding that it failed to act with the utmost good faith and it does not understand this to have been an allegation made by the Premier League during the course of proceedings.
‘Both the harshness and severity of the sanction imposed by the Commission are neither a fair nor a reasonable reflection of the evidence submitted.
‘The club will also monitor with great interest the decisions made in any other cases concerning the Premier League’s Profit and Sustainability Rules.
‘Everton cannot comment on this matter any further until the appeal process has concluded.’