Everton are in serious danger of incurring a points deduction after announcing £400m in losses over the last four years.
Having released their financial accounts for the 2021/22 season the club announced further losses of £44.7m, which might sound minimal, but added to their losses over the past couple of seasons, it could spell bad news.
The Premier League’s Financial Fair Play regulations state that clubs are allowed to record a maximum of £105m in losses over a three-year period. Everton’s combined losses in that period amount to £372.6 million.
Following the release of their financial results, the club’s majority shareholder Farhad Moshiri announced an injection of around £70m from his personal funds to support the club, bringing Everton’s combined losses between 2019 and 2022 down to £305.5m, but still a whopping £200m over the limit.
Previously, the club had successfully argued that mitigating factors had caused the excessive losses, such as the building of their new stadium and the economic impact of the Covid-19 pandemic.
In response, the Premier League asked an independent commission to determine if Everton have broken FFP rules. The investigation is ongoing.
