Two of Sheffield United's relegation rivals facing possible points deductions over financial fair play

New profitability and sustainability rules (PSR), to give them their proper title, mean the fates of Everton and Nottingham Forest should be resolved this season. Both admitted the charges but argued mitigating circumstances.

Everton's 10-point deduction for the same offence in November covered a different accounting period, and has gone to an appeal.

The Toffees are a point above the relegation zone and eight clear of bottom-placed Sheffield United. Forest are four points above the dotted line.

The charges will now be referred to an independent commission to decide punishments, which could be a fine and/or points deduction.

Under Premier League rules, clubs can lose a maximum of £105m over a three-season period, or £35m per campaign.

Everton were found to have lost £124.5m from 2019-22. The latest offence covers 2020-23.

The Football League’s rules prevent clubs from being sanctioned for offences in a financial period already covered, but the Premier League’s do not.

"As a result – and because of the Premier League’s new commitment to deal with such matters 'in-season' – the club has had no option but to submit a PSR calculation which remains subject to change, pending the outcome of the appeal," said an Everton statement. "The club takes the view this results from a clear deficiency in the Premier League’s rules."

Forest, who spent over £150m on transfers last season, argue there should be leeway because for two of the three years they were not in the Premier League.

The Blades should be warned – Everton’s initial deduction had a galvanising effect on their form.