Hatters move out of the relegation zone after Nottingham Forest are deducted four points

Luton Town have moved out of the relegation zone this afternoon after rivals Nottingham Forest were hit with a four point deduction for breaching the Premier League profit and sustainability rules.

The Reds were charged for the offence, along with Everton, back on January 15, with the hearing taking place earlier this month, as an outcome has finally been reached this afternoon. It means that following Saturday’s 1-1 draw at Kenilworth Road, Nuno Espirito Santos’s team now drop back to 21 points, and will be third bottom, the Hatters jumping above the dotted line to sit one point and one place ahead of them with nine matches to go.

A statement from the Premier League said: “An independent Commission has applied an immediate four-point deduction to Nottingham Forest FC for a breach of the Premier League’s Profitability and Sustainability Rules (PSRs) for the period ending Season 2022/23. Nottingham Forest was referred to an independent Commission on 15 January, following an admission by the club that it had breached the relevant PSR threshold of £61 million by £34.5 million.

"The threshold was lower than £105 million as the club spent two seasons of the assessment period in the EFL Championship. The case was heard in accordance with new Premier League Rules, which provide an expedited timetable for PSR cases to be resolved in the same season the complaint is issued.

"The independent Commission determined the sanction following a two-day hearing this month, at which the club had the opportunity to detail a range of mitigating factors. The Commission found that the club had demonstrated “exceptional cooperation” in its dealings with the Premier League throughout the process."

Forest are still likely to appeal the decision, which could see this case drag on until April/May, meaning the final outcome might not be known until after the Premier League campaign has finished. There has still been no news on the punishment that Everton, who lost 10 points in November, which was reduced to six on appeal, might face, for what is their second charge this season.