Everton Facing Financial Fair Play Charges
Everton Football Club is facing charges of breaching the Premier League’s financial fair play rules. The Toffees were referred in March by the Premier League, but specifics of the case were not revealed. Reports say the charge relates to a tax issue surrounding loans for the club’s new stadium at Bramley Moore Dock. Everton have denied any wrongdoing and said they were “prepared to robustly defend” their position.
Financial Losses Over Five Years
In March, the club announced financial losses for the fifth successive year after reporting a £44.7m deficit in 2021-22. This figure took their cumulative losses over the past five years to more than £430m. Under Premier League rules, clubs are permitted losses of up to £105m over a three-year period, but Everton blamed the Covid-19 pandemic for part of the losses.
Leeds and Burnley Request Investigation
Last year, Leeds and Burnley wrote to the Premier League asking for Everton’s accounts to be independently investigated, although they later dropped their threat of legal action. The two clubs were advised Everton complied with profit and sustainability rules, after meeting with the Premier League.
Everton Secure Top-Flight Status
Sean Dyche’s Everton beat Bournemouth on the final day of the 2022-23 season to secure their top-flight status.
Boardroom Changes
On Monday, chief executive Denise Barrett-Baxendale, chief finance and strategy officer Grant Ingles and non-executive director Graeme Sharp all left their boardroom roles. The club said interim appointments and chairman Bill Kenwright’s future would be decided in the following 48 hours, but by Thursday a decision had still not been announced. It is understood 77-year-old Kenwright, who has been on the club’s board of directors since 1989, was minded to leave alongside the trio but wanted to speak to owner Farhad Moshiri first. Supporters have protested outside Goodison Park before home games in the season just ended, calling for Kenwright to go, and they are awaiting the outcome of the talks between owner and chairman.
Independent Commission Hearing
The alleged breach of financial fair play rules will go before an independent commission on Wednesday, 25 October. It is expected that the commission will make a ruling on whether or not Everton have breached the rules and what sanctions may be imposed if they are found guilty.
Conclusion
Everton Football Club is facing charges of breaching the Premier League’s financial fair play rules. The club has denied any wrongdoing and said they were “prepared to robustly defend” their position. The alleged breach of financial fair play rules will go before an independent commission on Wednesday, 25 October. It is expected that the commission will make a ruling on whether or not Everton have breached the rules and what sanctions may be imposed if they are found guilty.