Nottingham Forest will now drop from 17th place into the relegation zone on 21 points, one behind Luton Town, who will rise out of the bottom three.
An announcement is expected to come from the Premier League on Monday. The Guardian reports that Forest admitted to the breach but are still likely to lodge an appeal.
Forest’s defence is said to have revolved around the sale of academy product Brennan Johnson. They could have sold him to Brentford last summer before June’s PSR deadline, but thought they could extract a higher fee beyond it instead.
The Wales winger was sold to Tottenham Hotspur on deadline day for £47.5m and argued their approach to selling him was with sustainability in mind, but an independent panel dismissed Forest’s defence. Forest also argued that their losses were due to vital investment in the playing squad in order to survive relegation.
Forest are not the only side to have faced punishment for PSR breaches this season. Everton were initially deducted ten points for their own offences, but this was reduced to six on appeal. The Toffees are still awaiting the verdict of another charge and could be deducted further points.
Both Forest and Everton remain mired in a battle against relegation, with Nuno Espirito Santo’s side now a point from safety behind Luton. Sean Dyche’s men sit 16th on 25 points, with Brentford one point ahead of them.
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