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Nottingham Forest confirm they have launched an APPEAL against their four-point deduction… after club breached the Premier League’s Profit and Sustainability rules

Nottingham Forest have confirmed that they’ve lodged an appeal against their four-point deduction for breaching the Premier League’s Profit and Sustainability rules. 

Last Monday, Nuno Espirito’s side were charged with breaching spending regulations in January 2024, alongside fellow Premier League side Everton.

As a result of the punishment, Forest dropped into the relegation zone as they now sit 18th in the Premier League table on 21 points, a point behind Luton in 17th.

Now, following the decision, the club took to X, formerly known as Twitter, on Monday to confirm that they have launched an appeal.

In a blunt statement, they said: ‘Nottingham Forest can confirm that it has today lodged an appeal against the four point sanction imposed by the Commission in relation to the Club’s breach of the Premier League’s Profit & Sustainability Rules (PSR). The club will not be making any further statement at this time’.

Nottingham Forest confirmed that they’ve lodged an appeal against their four-point deduction

Forest moved into the relegation zone after picking up the penalty and fell behind Luton Town

Forest moved into the relegation zone after picking up the penalty and fell behind Luton Town

The Premier League have claimed that the club exceeded their PSR threshold by as much as £34.5million in the pertinent period.

Following the initial sanction, Forest published a statement outlining that they were ‘disappointed’ with the decision to hand out a points penalty.

It read: ‘We were extremely dismayed by the tone and content of the Premier League’s submissions before the Commission.

‘After months of engagement with the Premier League, and exceptional cooperation throughout, this was unexpected and has harmed the trust and confidence we had in the Premier League.

‘That the Premier League sought a sanction of eight points as a starting point was utterly disproportionate when compared to the nine points that their own rules prescribe for insolvency.

‘We were also surprised that the Premier League gave no consideration at all to the unique circumstances of the Club and its mitigation. In circumstances where this approach is followed by future PSR commissions, it would make it extremely difficult, if not impossible, for newly promoted clubs without parachute payments to compete, thus undermining the integrity and competitiveness of the Premier League.’

The statement also pointed to deal to sell Brennan Johnson to Tottenham, which was thought to be a key part of their defence for breaching spending rules in the pertinent period. 

Nuno Espirito Santo's side voiced their concern with the point deduction when it was issued

Nuno Espirito Santo’s side voiced their concern with the point deduction when it was issued

Forest say they could have sold Johnson to Brentford in June for about £30m, which would have put them in a healthier financial state for the 2020-23 period, but nearly £20m out of pocket overall. 

As FFP calculations are made over a three-year period ending on June 30, the Johnson deal will count towards the reckoning for 2021-2024 rather than 2020-23 as it was completed on deadline day.

Clubs are permitted to make financial losses of £105m over a three-year period, with Forest reporting an annual loss of £45.6m in their last accounts.

For the club’s sustainability they argue that accepting nearly £50m for Johnson in August was better than accepting £30m earlier in the summer.

The club claim that Brennan Johnson's sale to Tottenham was 'a clear demonstration of our respect and support for PSR'

The club claim that Brennan Johnson’s sale to Tottenham was ‘a clear demonstration of our respect and support for PSR’

The statement continued: ‘Even after the Club had missed the PSR reporting deadline, it still took steps to ensure Brennan Johnson was sold before the end of the transfer window. That was a clear demonstration of our respect and support for PSR.

‘The Commission’s decision raises issues of concern for all aspirant clubs. The player transfer market is a highly specialised trading environment that cannot be compared to the sale of normal products and services.

‘There will be occasions when a player transfer cannot be completed in the first half of a transfer window and can only be completed at the end of that window. This should not be a reason for the condemnation of a club. For this not to be recognised by the Commission or the Premier League should be a matter of extreme concern for all fans of our national game.

‘Of wider concern for all aspirant clubs is the disturbing effect this decision will have on the operation of the player trading model. 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.’

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