Nottingham Forest have failed with an appeal against their four-point punishment for breaching Premier League profit and sustainability rules (PSR).
The club’s case was held on 24th April and an appeal board has upheld the original decision of an independent commission to impose the sanction.
The commission found that the club’s losses to 2022-23 breached the threshold of £61m by £34.5m.
It means that Forest will remain 17th and three points clear of the relegation zone with two games left to play.
The three-person appeal board arrived at a “unanimous” decision to uphold the original ruling by the commission, describing the previous board decision “commendably clear and comprehensive“.
The board said regarding Forest’s appeal that “Some of the criticisms of the [original] decision have involved a minute examination of the words used by the commission.
“Decisions such as these should not be subjected to microscopic forensic examination and interpreted as if they were statutes which have been drafted by parliamentary counsel.
“Allegations of infelicities of language or errors which are not material to the ultimate decision add to the complexity and costs of proceedings and are rarely likely to lead to a successful challenge of a decision.”
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In March, Forest dropped into the Premier League’s relegation zone after the initial points deduction.
The Premier League’s profit and sustainability rules permit clubs to lose £105m over three seasons (or £35m per campaign), but Forest’s maximum loss was limited to £61m as they spent two years of the assessment in the Championship.
The club’s net transfer spend in the 2022-23 season was £142.8m.
They lost an average of £3m across 2020 and 2021 with a further £40m loss in 2022 and £52m in 2023, amounting to a total of £95m.
Forest had initially been due to receive a six-point deduction, but their “early plea” and “cooperation” saw the ban reduced to four points.
Furthermore, the resolution of Forest’s PSR case comes two weeks after their controversial statement on social media following a 2-0 defeat at Everton.
Following this, the club has been charged with misconduct by Football Association after the social media post questioned the integrity of the video assistant referee (VAR).
Forest host Chelsea on Saturday and end the campaign at relegation-threatened Burnley on 19 May.
