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Everton have been referred to an independent commission over an alleged breach of the Premier League’s profitability and sustainability rules.

The alleged breach is for the period ending with the 2021-22 season, when the Toffees avoided relegation by four points.

Burnley, who were relegated from England’s top division last season, and Leeds wrote to the league in May to question whether Everton’s reported three-year losses of £371.8million breached financial rules.

General view outside the ground at Goodison Park
The alleged breach is for the period ending with the 2021/22 season.

The league’s profit and financial sustainability rules allow clubs to lose a maximum £105m over a three-year period or face sanctions, which include points deductions for serious breaches.

A statement from the Premier League read: “In accordance with Premier League rule W.82.1, the Premier League confirms that it has today referred an alleged breach of the league’s profitability and sustainability rules by Everton Football Club to a commission under Premier League Rule W.3.4.

“The assessment period for which it is alleged that the club is in breach is the period ending season 2021-22.

“Commissions are independent of the Premier League and member clubs. The members of the commission will be appointed by the independent chair of the Premier League judicial panel, in accordance with Premier League rules W.19, W.20 and W.26.

“The proceedings before the commission will, in accordance with Premier League rule W.82, be confidential and heard in private. Under Premier League rule W.82.2, the commission’s final award will be published on the Premier League’s website. The league will be making no further comment until that time.”

Everton have been contacted for comment by the PA news agency.

The Toffees headed into the international break sitting in 15th place in the Premier League following a 2-2 draw at Chelsea secured by a late goal from Ellis Simms.

New Everton manager Sean Dyche took over following Frank Lampard’s departure at the end of January.

Dyche will be looking to build on a three-match unbeaten run which pulled them clear of the dropzone when Premier League action resumes at home against Tottenham on April 3.