Reading have received a one-point deduction with a further three points suspended after an Independent Disciplinary Commission determined that the club had breached EFL Regulations, an EFL statement read.
The breaches relate to the Royals failing to pay its players’ wages on time or in full on three occasions between October 2022 and April 2023.
Reading’s points tally for the 2023/24 campaign has been immediately altered, with Ruben Selles’ side now sitting 18th in League One with two points on the board.
Owner Dai Yongge has also been fined £10,000 and ordered to deposit an amount equal to 125% of the club’s forecast monthly wage bill in a designated club account, in an attempt to avoid further breaches, in a move similar to that seen following Wigan Athletic’s persistent late payments.
If this deposit is not paid within 28 days of this decision, or if there is a further failure to pay wages, the suspended sanction of a further 3-point deduction will be activated against the Berkshire-based club.
It has been a turbulent time at the Select Leasing Car Stadium, with Reading having recently been placed under a transfer embargo after failing to pay a ‘significant’ amount to HMRC on time.
The embargo came just under a month after the Royals were handed a winding-up petition for again failing to pay HMRC.
This led to Reading FC fan group Sell Before We Dai to organise a peaceful “sit in” protest after the season opener against Peterborough United, over the serious ongoing issues surrounding the club.
On the failures to meet regulations, the statement continues: “The EFL remains extremely frustrated at the consistent failures of the Club’s ownership to meet its ongoing obligations under EFL Regulations, the consequences of which are having a negative impact for all those associated with Reading, particularly its staff members, supporters, and local community.
“Whilst we acknowledge the independence of the commission and the sanction imposed, this outcome does fall some way short of the League’s existing sanctioning guidelines. The EFL will now undertake a full review of the decision issued, taking into consideration the recent previous sanctions imposed on the Club and their subsequent impact.”
Writer’s View
Reading were of course handed a six-point deduction last season which plunged them into a relegation battle, and they were subsequently relegated from the Championship. They have now received -13 points in under two years, so you can see why the EFL and Royals fans have had enough.
The EFL is clearly not wholly satisfied with the outcome of the Independent Commission, and there could yet be further punishment due to the frustration growing within the organisation towards Reading owner Dai Yongge.
It remains a worrying time for Reading fans, who have had to contend with multiple off-the-field issues in recent years, as well as a mixed start to the 2023/24 campaign, as they look to cope with life in the third-tier for the first time in over 20 years.
