Nottingham Forest have been hit with a four-point deduction after breaching the Premier League’s Profit and Sustainability rules.
The Forest have now dropped into the relegation zone as they now sit 18th in the Premier League table on 21 points, a point behind Luton in 17th.
Forest were charged with breaching spending regulations in January 2024 alongside fellow Premier League side Everton, the Toffees receiving a 10-point deduction earlier in the season.
That penalty was reduced to six points later on but Forest have now suffered a similar fate at a crucial point in the campaign.
Prior to the announcement, Forest had sat just three points clear of Luton in 18th place, the Hatters earning a late 1-1 draw with Nuno Espirito Santo’s side on Saturday to stay within striking distance
A hearing took place to decide what punishment the club would face on Thursday and Friday last week, ahead of Saturday’s game.
Forest’s spending since returning to the English top-flight at the start of 2022-23 has been lavish in the extreme.
From that summer, as many as 43 players have arrived at the City Ground for more than £250million.