Winning and Endurance Rules: Premier League points will be deducted here to stay due to financial infringements

Clubs in breach of the Profit and Sustainability Rules (PSR) can expect to continue to receive points deductions; Everton and Nottingham Forest have both been docked for similar offences; PL is not considering the idea of ​​a new "luxury tax".

Clubs that break the Premier League's financial rules can still expect to receive significant point deductions in the future, Sky Sports news has been reported despite the proposal to replace point penalties with a fine.

Premier League clubs will attend their latest AGM on Wednesday (April 10), with the future of managing team costs high on the agenda.

The Premier League announced after its last meeting in March that it was committed to "prioritising the rapid development and implementation of a new league-wide funding system".

The issue will not be voted on, but the league wants the new system in place by the summer and certainly before the new season starts in August.

Everton's appeal against their latest points deduction may not be finalized until the week after the end of the Premier League season - May 25 at the latest - leading to a potentially chaotic situation where clubs do not know who will be relegated even if they have played all their games.

Because of this, the schedule of new penalties is also a key issue on the agenda of the general meeting, even though the problem is difficult to solve. In the past, financial violations reported in one financial year were punished the following year, but this led to criticism that clubs were not punished quickly enough.

At the start of this season, Premier League clubs voted to introduce a new "fast-track" system, which will see clubs penalized in the same season they breach. However, this has led to the current problems, when point deductions can only be determined after the season has ended.

Elsewhere, it has been reported that a new "luxury tax" was being considered, according to which clubs that break the rules on the use of money will receive a hefty fine, which will increase according to the level of the violation. The proceeds of the fines are then shared among the clubs that have followed the laws.

Sky Sports news it has been reported that some Premier League clubs, big and small, are in favor of such a system, but the majority - and the Premier League itself - are adamant that the idea is not an initiative.

The fear is that it could lead to the richest clubs spending huge sums on players without restrictions, and while this might benefit smaller clubs financially through fines, it would increase the disparity between clubs and could lead to huge player wages and transfers. fee inflation.

As a result, Sky Sports news As I understand it, a "luxury tax" is not on the agenda.

However, the focus of the discussion is how best to adapt the new Premier League rules to the rules already introduced by UEFA.

In the 2025/26 season, clubs participating in European competitions will only be allowed to spend 70 percent of their total revenue on players (currently the limit is 90 percent, which as part of a phased implementation will be reduced to 80 percent next season).

New Premier League rules are likely to give clubs not involved in Europe the freedom to spend more than 70 percent of their revenue on players to help them compete. But the level at which the upper limit will be set is yet to be decided.

According to the theory, the biggest clubs already have two significant separate revenue streams - from UEFA and the Premier League - while clubs outside of European competition only have one.

Setting a spending limit of more than 70% would allow smaller clubs to try to compete more effectively with the big clubs, while players in European football with higher incomes would still have to comply with UEFA's 70% limit.

PSR explained: What is limiting clubs to spend more?

At its simplest, when every Premier League team adds up their annual accounts, they could have made a maximum loss of £105m over the previous three seasons.

Clubs can only lose £15m own money during these three years. So that's no more than £15m of extra spending on things like transfer fees, player wages and, in many clubs' cases, paying ex-managers compared to their income from TV fees, season tickets, player sales and so on.

The other £90m of the total £105m will have to be guaranteed by its owners through the purchase of shares, known as 'secure funding', which is basically a transfer of money from the club.