Everton Faces £50m Compensation Claim from Burnley Over PSR Breach

Burnley sues Everton for £50m

Burnley sues Everton for £50m in compensation over alleged breach of Premier League's profit and sustainability rules, potentially impacting Manchester City's 115-charge case.

Burnley is suing Everton for £50 million-plus in compensation, claiming the Toffees' breach of profit and sustainability rules...

Burnley is suing Everton for £50 million-plus in compensation, claiming the Toffees' breach of profit and sustainability rules (PSR) led to their relegation to the Championship in the 2021-22 season. The case, set to begin this week at the International Dispute Resolution Centre in London, centers on Everton's 10-point deduction, later reduced to six points on appeal, for violating Premier League spending regulations.

Burnley argues that if Everton had received the full 10-point deduction during the 2021-22 season, they would have avoided relegation, finishing ahead of the Toffees. Instead, Burnley finished just four points behind Everton and were relegated. The Clarets believe they are owed compensation for the revenue lost due to their demotion, estimated to be over £50 million.

The lawsuit's outcome could have significant implications for the Premier League, particularly in the ongoing case against Manchester City for alleged breaches of spending regulations. If Burnley is successful, it may set a precedent for other clubs to seek compensation for breaches of financial rules.

Burnley is suing Everton for £50 million-plus in compensation, claiming the Toffees' breach of profit and sustainability rules (PSR) led to their relegation from the Premier League in the 2021-22 season. The Clarets argue that Everton's 10-point deduction, later reduced to six points on appeal, should have been applied during the 2021-22 campaign, which would have seen Burnley avoid relegation and stay in the Premier League.

The case, set to begin this week at the International Dispute Resolution Centre in St Paul's, London, centers on Everton's alleged breach of PSR rules, which allowed them to gain a sporting advantage and stay in the Premier League while Burnley was relegated. Burnley finished just four points behind Everton in the 2021-22 season and claims it would have survived if the points deduction had been applied correctly.

🚨Burnley’s compensation case against Everton is due to start this week

Burnley claim they are owed over £50M after Everton were found in breach of the Premier League’s PSR. [@MsiDouglas] pic.twitter.com/YXRVaps0pU

— EFC DAILY (@EFCdaily_) September 15, 2025

Burnley and Everton are locked in a high-stakes legal battle over the Clarets' relegation from the Premier League in the 2021-22 season. Burnley finished just four points behind Everton, who were later handed a 10-point deduction, reduced to six points on appeal, for breaching profit and sustainability rules (PSR). The case, set to begin this week at the International Dispute Resolution Centre in London, could have significant implications for both clubs and the Premier League as a whole.

Burnley claims it would have avoided relegation if Everton's points deduction had been applied during the 2021-22 season, and is seeking £50 million-plus in compensation for lost revenue. The outcome may impact the Premier League's case against Manchester City, which involves 115 alleged breaches of spending regulations. If Burnley is successful, it could set a precedent for other clubs to seek compensation for breaches of financial rules, potentially changing how punishments are handed down in the future.