Nottingham Forest have confirmed they have appealed their four-point deduction for breaching the Premier League’s winning and sustainability rules.
Last Monday, Nuno Espirito’s side were accused of breaching spending rules in January 2024, along with fellow Premier League side Everton.
As a result of the penalty, Forest fell into the relegation zone as they now sit 18th in the Premier League with 21 points, one point behind Luton in 17th.
Now, after the decision, the club took action Xformerly known as Twitter, confirmed on Monday that they have appealed.
In a blunt statement, they said: ‘Nottingham Forest can confirm that it has today appealed 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 make no further statement at this time.”
Nottingham Forest, owned by Evangelos Marinakis (pictured), have appealed their four-point deduction
Forest moved into the relegation zone after conceding the penalty, falling behind Luton Town
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The Premier League has claimed that the club exceeded the PSR threshold by as much as £34.5 million in the relevant period.
Following the initial sanction, Forest published a statement explaining that they were ‘disappointed’ with the decision to hand out a points penalty.
It said: ‘We were extremely upset by the tone and content of the Premier League’s comments to the Commission.
‘After months of involvement in the Premier League and exceptional cooperation throughout, this was unexpected and has damaged the confidence we had in the Premier League.
‘For the Premier League to require an eight-point sanction as a starting point was completely disproportionate compared to the nine points prescribed by their own rules for insolvency.
‘We were also surprised that the Premier League did not take into account the club’s unique circumstances and their mitigation at all. In circumstances where this approach is adopted by future PSR committees, it would make it extremely difficult, if not impossible, for newly promoted clubs without parachute payments to compete, undermining the integrity and competitiveness of the Premier League.”
The statement also pointed to the deal to sell Brennan Johnson to Tottenham, which was thought to be a key part of their defense for breaching spending rules in the relevant period.
Nuno Espirito Santo’s side expressed concern over the points deduction when it was issued
Forest say they could have sold Johnson to Brentford in June for around £30m, which would have put them in a healthier financial position for the 2020-2023 period, but almost £20m out of pocket in total.
Because FFP calculations are made over a three-year period ending June 30, the Johnson deal will count towards the 2021-24 settlement rather than 2020-23 as it was completed on deadline day.
Clubs are allowed to incur financial losses of £105 million over three years, with Forest reporting an annual loss of £45.6 million in their latest accounts.
For the club’s sustainability, they claim that accepting almost £50 million for Johnson in August was better than £30 million earlier in the summer.
The club claims the sale of Brennan Johnson to Tottenham was ‘a clear demonstration of our respect and support for PSR’
The statement continued: ‘Even after missing the PSR reporting deadline, the Club still took steps to ensure that 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 questions that are important for all aspiring clubs. The player transfer market is a highly specialized trading environment that cannot be compared to the sale of normal products and services.
‘There will be cases where a player transfer cannot be completed in the first half of a transfer window and only at the end of that period. This should not be a reason for condemning a club. If this is not recognized by the Commission or the Premier League, this should be a matter of great concern to all fans of our national football.
‘Of wider concern to all aspiring clubs is the worrying effect this decision will have on the operation of the player trading model. This is the only model that allows clubs outside the small group at the top of the Premier League to realistically move up the football pyramid.”