Everton FC has been ordered to pay Burnley FC approximately £35 million in damages after an independent commission found that the Toffees’ breach of the Premier League’s Profit and Sustainability Rules effectively relegated the wrong club. It is the first time in English football history that one club has been forced to compensate another for financial fair play violations.
The ruling, handed down in June 2026, stems from Everton’s admitted overspending of £19.5 million during the 2021-22 season. Burnley argued, successfully, that if Everton had been punished in real time, it would have been Everton going down instead of Burnley. The commission agreed.
How the math worked against Everton
Burnley finished 18th in the Premier League that season with 35 points. Everton finished with 39 points, just four clear of the relegation zone. A points deduction applied during the season itself, rather than months later, would have flipped the table entirely.
Everton was initially hit with a 10-point deduction in November 2023 for breaching the Premier League’s PSR. That penalty was subsequently reduced to six points following an appeal in February 2024. But by the time the punishment landed, the damage to Burnley had already been done.
