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Everton Ordered to Pay £35m to Burnley Over Premier League Financial Fair Play Breach

Posted : 11 June 2026

Everton have been instructed to pay Burnley more than £35 million in compensation following a legal ruling connected to breaches of Premier League profitability and sustainability regulations during the 2021/22 season.

The decision stems from financial rule violations that resulted in Everton receiving a 10-point deduction in late 2023, later reduced to six points after an appeal. The sanctions were imposed during the ownership of Farhad Moshiri and were related to the club’s financial conduct in earlier seasons.

In the 2021/22 campaign, Everton finished just above the relegation zone, four points ahead of Burnley, who were ultimately relegated. Burnley later argued that had Everton’s points deduction been applied at the time, the Merseyside club would have dropped into the bottom three instead of them.

An independent commission accepted Burnley’s argument that the breach had a direct competitive impact, concluding that the Clarets had suffered sporting damage as a result. This led to the ruling that Everton must compensate the Lancashire club for the financial consequences of their relegation.

Everton reacted strongly to the decision, issuing a statement expressing shock and anger. The club confirmed it would appeal, insisting the judgment was flawed in both legal interpretation and factual assessment. They also warned that the ruling could set a problematic precedent for English football, arguing that it introduces uncertainty over how financial breaches are assessed within a season.

The club, now under the ownership of the US-based Friedkin Group following a takeover completed in December 2024, maintained confidence that the appeal process would overturn the decision.

Burnley chairman Alan Pace welcomed the outcome, stating that no club should be forced to compete in a league season later deemed to have been compromised by financial rule breaches. He said the ruling confirmed that Everton had gained an unfair advantage, which ultimately influenced the outcome of the relegation battle.

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