And as a result, the Toffees have now plummeted further into a relegation scrap with the teams at the bottom of the Premier League.

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Why did Everton get hit with a 2-point deduction?

EVERTON have been handed a second points deduction leaving them just above the relegation zone.

The Toffees have been slapped with a two-point deduction for breaking Profit and Sustainability Rules (PSR) last season – which they plan to appeal.

It’s the second deduction they have been hit with this season after being docked six points – ten before a successful appeal – earlier in the campaign.

The Toffees were charged by the Premier League for their fresh PSR breaches back in January and have been awaiting their punishment ever since.

And now The Premier League have announced that their wait is over confirming they have been handed a two-point penalty – taking their total deduction this season to EIGHT POINTS.

Why did Everton get hit with an 8-point deduction?

Everton were found guilty of one count of breaching Financial Fair Play rules.

The Premier League has called for the punishment after Everton recorded heavy financial losses over the past three years.

The Prem’s permitted amount is £105m.

The Toffees posted financial losses of £44.7million for the 2021-22 season – bringing their three-year total to £124.5m, £19.5m over budget.

The Premier League do allow teams to go over budget under very rare circumstances – including the building of a new stadium.

Everton are currently in the middle of building their new ground at Bramley-Moore Dock.

But, in total, the Merseysiders were only £19.5m over budget, meaning a much less severe punishment was imposed.

The league had initially proposed a six-point deduction for FFP rule breaches PLUS an additional point for every £5m over the limit.

While the commission claims to have declined to follow that plan, that would equate to roughly 10 points – suggesting the punishment fit the crime.

What has been said?

A Premier League statement read: “An independent Commission has given an immediate two-point deduction to Everton FC for a breach of the Premier League’s Profitability and Sustainability Rules (PSRs) for the period ending Season 2022/23.

“Over a three-day hearing last month, the independent Commission heard evidence and arguments from the club in respect of a range of potential mitigating factors for its admitted breach of £16.6m, Including the impact of its two successive PSR charges.

“Having done so, the Commission determined the appropriate sanction to be a two-point deduction, taking effect immediately.

“The independent Commission reaffirmed the principle that any breach of the PSRs is significant and justifies, indeed requires, a sporting sanction.”

The hit drops the Merseyside club from 29 points in 15th place down to 27 points in 16th – just two points above Nottingham Forest and Luton Town in the relegation zone.

Has a Premier League club ever had a points deduction?

Everton are the first Premier League club to be hit with a points deduction for breaching FFP rules.

However, Portsmouth were deducted nine points in March 2010 after going into administration for failing to pay debts of around £65million.