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01/03/202311/07/2024

Reading facing second points deduction in 18 months after EFL breaches

Reading is facing the threat of a second point deduction in 18 months by the Football League.

The Championship club could be punished with sanctions after allegedly breaching the EFL’s business plan, following their six-point deduction in Nov 2021.

Reading were punished for breaching financial rules and agreed to a business plan related to player-related expenditure which the club would have to adhere to.

However, it is understood Reading has broken certain regulations in the plan and are in talks over an agreed punishment with the EFL.

Reading is under threat of being deducted another six points if they are found guilty by an independent disciplinary commission.

In the 2018-19 season it was reported that Reading’s wage bill was £40 million, working out as 194 per cent of their turnover.

For the following campaign their accounts revealed a total accumulated losses of £138 million, while their most recent pre-tax loss was £93 million over a three-year period.

The club is owned by Dai Yongge, a Chinese businessman and investor who completed his takeover in 2017.

The EFL declined to comment on Wednesday.

Relegated from the Premier League in 2013, Reading are currently 14th in the Championship table with 44 points. A six-point deduction currently would see them drop down the table below Swansea, Hull, Stoke and Queens Park Rangers, as well as Birmingham City on goal difference.

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