Reading have been hit with a six point deduction following a breach of EFL financial rules.
The EFL have determined that the Royals lost £57.8m between 2017 and 2021, the limit for that period of time is £39m.
A further six point deduction is suspended until the conclusion of next season, as long as they comply with a business plan including player spending.
This means that Reading go from 16th in the Championship to 19th on 16 points, four points above the relegation zone.
Veljko Paunovic’s side have been under a transfer embargo since the summer following a breach of profitability and sustainability rules.
Reading are the second side to be deducted points this week, with Derby being deducted a further nine points, to take their total deductions this season to 21 points.
Reading host Nottingham Forest on Saturday, and will be hoping to to regain half of their deducted points with a win, following on from their 2-1 away win against Birmingham City prior to the international break.
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The Royals have recently signed free agent Andy Carroll on a two-month contract, with many first team strikers out with various injuries.
The former Liverpool, Newcastle and West Ham man will be looking to regain full fitness and to be back amongst the goals, to help steady the ship at the Madjeski Stadium
