Financial fair play is among the key factors that ensure teams abide by rules regarding how they spend money on signing players. Recently, the premier league was sent into shock waves as Everton received a 10-point deduction after they were found guilty of breaching the league’s Financial Fair Play (FFP) rules.
Everton was at position 14 before the deduction and now sits at position 19, just one above bottom-placed Burnley. After playing 14 games, the Toffees had accumulated 12 points. The decision to punish Toffees with the 10-point deduction was based on PSR rules that Everton violated for 3 seasons that ended during the 2021-22 season.
According to Everton, the financial adjustments and losses in that period amounted to £105 million, whereas the premier league revealed that the amount was £124.5m. Even though Everton defended their figure based on the 19 impact, youth development and additional costs, they clearly maintained that the costs in question were accounted for differently.
The Toffees argue that some of the accounting practices were interpreted differently, hence not favoring them. The claims do not reveal whether Everton were willingly deceitful. Fans have not taken the issue lightly and have vowed to demonstrate. For example, the 1878 group proposed flying over the stadium in protest. On their page, the group noted.
“Due to our kick off time, it will be dark. So instead a plane will fly over The Eithad on Saturday for City v Liverpool which will be watched by millions around the world.
Once the banner is made from the company we can release a picture of this.”
How Everton’s Case Is Different From Manchester City
After Everton’s point deduction, all eyes were on Manchester City, accused of breaching around 115 violations. Based on Everton’s ruling, this means that Manchester City might be deducted 1,150 points from the 115 breaches.
However, City’s case is different from Everton’s. On the city’s side, the team is charged with “a true and fair view of the club’s financial position. ” The teams didn’t include complete details about the player’s and managers’ remunerations. Also, the team is charged for not cooperating with Premier League investigations.
On the other hand, Everton took huge risks as they budgeted to complete position 6 but managed 16. Everton were also creative in their accounting and hence received a fair punishment.
Manchester City might get a massive shock if their case is treated like Everton’s and might even risk losing some of the trophies awarded over the period. Earlier, UEFA had overturned some of the claims, noting they were out of time.
Chealse’s Case Is Also Different
When the club was sold to the new owners, they came across a hidden amount where £100m of the £2.5 billion was hed and knew they could face fines as they progressed. Todd and Clearlake consortium did some due diligence, discovered the errors, and then reported them to UEFA.
At the moment, the Blues have not been charged. However, their case may not be to the scale of the City’s charges. In the coming days, the fate of Chease and the city will be known after investigations into the allegations compete.