Nottingham Forest’s appeal to reduce four-point penalty for breaching PSR rules rejected

Back in March, Forest were handed a four-point penalty for breaching the Premier League’s profitability and sustainability rules (PSR) in which an independent commission found that the club’s losses breached the threshold for the assessment period ending in the 2022/23 season.

The commission found Forest’s losses to 2022-23 breached the threshold of £61m by £34.5m over a three-year period.

Forest were initially due to be hit with a six-point deduction – three points for the initial breach and a further three for the size of the breach – but their “early plea” and “co-operation” saw that reduced to four points.

In response to that points deduction, Forest said they were “extremely disappointed” with the decision and would appeal.

“We were extremely dismayed by the tone and content of the Premier League’s submissions before the commission,” a club statement read.

“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.”

It has now been reported by The Athletic that the club has been unsuccessful in their appeal against the four-point deduction.

The three-person appeal board arrived at a “unanimous” decision to uphold the original ruling by the commission, describing it as “commendably clear and comprehensive”.

“Some of the criticisms of the [original] decision have involved a minute examination of the words used by the commission,” the board said of Forest’s appeal.

“Decisions such as these should not be subjected to microscopic forensic examination and interpreted as if they were statutes which have been drafted by parliamentary counsel.”

“Allegations of infelicities of language or errors which are not material to the ultimate decision add to the complexity and costs of proceedings and are rarely likely to lead to a successful challenge of a decision.”

That decision keeps Forest in 17th place in the Premier League, just three points above the relegation zone with two games remaining.

Luton however currently occupies the 18th place, with second-bottom Burnley two points further back.

Last November, Everton were docked 10 points for breaching PSR, reduced to six on appeal. The Toffees were hit were a further two-point deduction in March for a second breach, which they have appealed against; however, they are safe from relegation.

The resolution of Forest’s PSR case comes two weeks after their controversial statement on social media following a 2-0 defeat at Everton.

The club have been charged with misconduct by Football Association after the social media post questioned the integrity of the video assistant referee (VAR).

Forest had three penalty claims rejected and the club claimed they told referees body the Professional Game Match Officials Limited (PGMOL) that the game’s video assistant referee (VAR) Stuart Attwell was allegedly a fan of relegation rivals Luton.

Despite the critical post on social media, BBC Sport has been told that Forest did not ask for Attwell to be replaced prior to the match.

Forest next face in-form Chelsea on Saturday before ending the season away at relegation rivals Burnley on May 19.

Timeline guide to Forest & Everton cases

24 March 2023: Premier League refers Everton to independent commission over alleged breach of financial fair play rules for the three-year accounting period ending with the 2021-22 season.