Sheffield United handed points deduction for missed payments after Everton and Nottingham Forest verdicts

Sheffield United will be deducted two points upon returning to the English Football League (EFL) after defaulting on payments to other clubs.

The EFL confirmed on Thursday evening that Chris wilder’s side had been punished for a failure to make payments relating to the 2022/23 campaign in which they were promoted to the Premier League. The punishment will only be handed out once they are back in the EFL, which will likely be next season.

The Blades currently sit bottom of the Premier League, nine points from safety with seven games remaining. Another two-point penalty has been suspended and will be activated if any more payments are missed next season.

An EFL statement read: “An independent Disciplinary Commission (IDC) has determined that Sheffield United Football Club are to be deducted two points at the start of the next season the Club is in the EFL’s jurisdiction, with a further two points suspended until the end of that same season.

“The sanction relates to the 2022/23 season, when the Club defaulted on a number of payments to other Clubs. These defaults cumulatively were in excess of 550 days.

“The suspended points deduction will be activated if the Club defaults on any payment due to another Club under a transfer or compensation agreement for more than five business days from the due date for payment. The Club has agreed to pay the EFL’s costs in the sum of £310,455.”

The penalty will only apply if Sheffield United return to the EFL meaning they would not be docked points next season in the unlikely scenario that they survive.

In response to the charge, a statement from Sheffield United read: "Sheffield United notes today's statement from the EFL with regards to breaches by the club of regulations 52.2.3 and 52.2.4 in the 2022/23 season. It has been agreed that the Blades will commence the next season in which the club is subject to the EFL's jurisdiction with a two-point deduction.

“The club's position in the proceedings was that the relevant sums relied on by the EFL had been paid in full, on several occasions only days after they were initially due, or renegotiated with new future payment dates adhered to before the club was notified of the referral. The club has co-operated with the EFL to reach a negotiated settlement on the issues in question.

"While disappointed to have the deduction imposed upon the return to the EFL and highlighting that awaiting overdue monies from several other clubs affected Sheffield United's financial situation, the club took the view that it was better to reach an agreement which minimised the risks of a higher deduction or further transfer embargoes being imposed, and being distracted by lengthy and costly legal proceedings The club is now in a position to close this matter and concentrate on the future."

Wilder’s side are the latest to fall victim to a points deduction, with two Premier League relegation rivals having points taken off this season. Everton have been docked eight points via two separate verdicts, while Nottingham Forest lost four points.

Leicester City are also facing the prospect of a points deduction if they are promoted to the Premier League, with recently published accounts confirming a loss of more than £200m over the most recent three-year period. The maximum permitted loss for that timeframe is £105m.