Sheffield United's survival picture changes again after rivals Nottingham Forest discover financial breach punishment

Sheffield United's Premier League survival picture has changed again after rivals Nottingham Forest were hit by a points penalty for their breach of financial rules. Forest admitted overspending earlier in the year, being referred to an independent commission to determine their punishment.

Now Forest have officially been hit with a four-point deduction, with immediate effect, after overspending by £34.5m - taking Nuno Espírito Santo's men into the Premier League relegation zone, with Luton moving up to fourth-bottom.

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The Hatters have 22 points, leaving United eight points - effectively nine thanks to their poor goal difference - adrift of safety with 10 games to go. Forest could also appeal the verdict, and have 14 days to notify that they wish to do so. May 24 is a deadline date for any appeal, which comes five days after the end of the season - potentially meaning a dramatic finale in the relegation race.

Forest have signed more than 40 players since being promoted to the Premier League in May 22, spending around £250m in the process. Part of the period in question for Forest's overspend also saw them play in the Championship, meaning their permitted losses were far lower than the Premier League's £105m benchmark.

Forest are the second side to be docked points this season for breaching profit and sustainability rules. Everton saw 10 points taken off their tally earlier in the season, plunging them back into the relegation picture, although the sanction was later reduced to six points on appeal.

A Premier League statement confirmed: "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."