Reading agree SIX point Championship deduction with the EFL

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

Reading have been slapped with a six-point deduction by the EFL after breaching spending rules.

The Championship side have also seen a further six points suspended, and will need to comply with an agreed business plan for the remainder of this season and next to avoid the additional penalty being triggered.

The six-point deduction has seen the Royals drop from 16th to 19th in the Championship table but they are still outside the second-tier’s relegation spots.  

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

Reading’s manager Veljko Paunovic has seen his side plunge closer to a relegation fight following a six point deduction by the EFL

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

Reading could also be hit with another six-point deduction pending compliance to an agreed business plan which will hang over the club from now until the end of next season

An EFL statement read: ‘Reading Football Club has been deducted six points from this season’s (2021/22) points tally, with a further six points suspended until the end of the 2022/23 Season, after admitting to breaches of the EFL’s Profitability and Sustainability rules (P&S).

‘It follows a review of the financial submission from the club for the four-year period 2017/18 to 2020/21 where it was determined the club had recorded a loss of £57.8million, £18.8m in excess of the £39.0m Upper Loss Threshold.’ 

Championship clubs are not permitted to make losses of more than £39million over three years but Chinese-owned Reading’s operating losses for that period went beyond that figure.

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

Negotiations over the deduction have been described as ‘lengthy but amicable’.

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

The six-point deduction has seen the Royals drop from 16th to 19th in the Championship table

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

, Reading agree SIX point Championship deduction with the EFL, The Today News USA

The points deduction comes into force after the club went well beyond the £39million figure of financial losses over a three-year period

A business plan has been agreed for the rest of this season and next. It will need to be adhered to should the Royals swerve an additional six point penalty. It is thought that high wages will be among a number of financials to be addressed. 

On Tuesday, it was announced that Derby had been docked a further nine points for financial breaches on top of the 12 they were handed in September for going into administration.

Wayne Rooney’s side sit bottom on minus three points.

With six points deducted, Reading now have 16 points. Currently Hull City, with 12 points, occupy the final relegation spot.