West Bromwich Albion say they have “fully complied” with the EFL’s profit and sustainability rules after reports that they could face a points deduction for an alleged breach.
A report in the Telegraph said the Championship club had been charged for exceeding the £39m loss limit for the three seasons to 2024-25.
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If found guilty, West Brom face a points deduction which, according to the EFL’s sanctioning guidelines, would be applied this season and potentially mean they drop into the relegation zone.
James Morrison’s side sit two points above the bottom three with four games to play.
West Brom did not confirm the charge, but did indicate there was an issue.
“West Bromwich Albion acknowledges media reports relating to the club’s compliance with the EFL’s profitability and sustainability (P&S) rules,” a statement read.
“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.
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“It would not be appropriate for the club to comment further at this stage.”
Clubs had until 31 December to submit annual accounts for the 2024-25 season, which are then assessed for compliance.
The CFRU then issues a compliance report to a club alleged to be in breach.
There is a 14-day period to respond, and a hearing must be held within 28 days of the compliance report being issued.
It means that any points deduction might not be confirmed until after the final day of the Championship season on 2 May.
The Telegraph report indicated that it was only a small breach.
A breach of up to £2m incurs a three-point penalty. If it is up to £4m, there is a four-point deduction.
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The EFL applies mitigation if a club’s losses have reduced season on season, which would apply here and give West Brom one point back.
Relegated Sheffield Wednesday have been deducted 18 points for entering administration and financial breaches this season.
Leicester City, who sit second bottom, have suffered a six-point deduction for breaching P&S regulations.