West Bromwich Albion have issued a firm statement asserting their full compliance with the EFL's Profit and Sustainability (P&S) regulations, following media reports suggesting the Championship club could face a points deduction for an alleged breach.
According to a Telegraph report, West Brom have been charged with exceeding the £39 million loss limit over the three seasons ending in 2024-25. If found guilty, the club could receive a points penalty this season, potentially pushing them into the relegation zone. Currently, James Morrison's side sit just two points above the bottom three with four matches remaining.
In response, the club released a statement: "West Bromwich Albion acknowledges media reports relating to the club's compliance with the EFL's profitability and sustainability rules. The club considers that it has fully complied with the P&S rules. The club will continue to co-operate with the EFL's Club Financial Reporting Unit and looks forward to resolving this matter. It would not be appropriate for the club to comment further at this stage."
Clubs were required to submit their 2024-25 accounts by 31 December for assessment. The EFL's Club Financial Reporting Unit then issues a compliance report to any club alleged to be in breach, followed by a 14-day response period and a hearing within 28 days. This timeline means any potential points deduction might not be confirmed until after the Championship season concludes on 2 May.
The Telegraph indicated the breach is relatively minor. Under EFL guidelines:
- A breach of up to £2 million incurs a three-point penalty.
- A breach of up to £4 million results in a four-point deduction.
Mitigation is applied if a club's losses have decreased season-on-season, which would grant West Brom one point back.
This situation unfolds amid a season where other clubs have faced significant penalties. Sheffield Wednesday were deducted 18 points for entering administration and financial breaches, while Leicester City received a six-point deduction for P&S regulation violations.
West Brom recently announced reduced losses of £17 million in their latest financial report, published less than a month ago, suggesting confidence in their compliance at that time.