Some of the reaction to the points deduction at Everton has been excitable and over speculative. One might think it was the end of the Premier League as we know it. As one spoof site commented, 'Manchester City to be relegated to National League North.'
Everton are to appeal, but they did admit that they were in part in breach of the rules. That said, they would regard the penalty applied as excessive. However, I think their claim that they were transparent with the investigators will not carry much weight. Tactically it shows a certain naivety (evasiveness and delay might have worked better), whilst saying 'we know we are outside the rules' is not much of an excuse.
However, given Everton's upward curve on the pitch and the weakness of three potential candidates for relegation, I don't think that they are in any danger.
If the appeal fails, Everton are likely to face legal action for compensation for four clubs relegated when they were breaking the rules, but the compensation may not be as great as they anticipate: arriving at a realistic figure is not straightforward.
As for talk of Chelsea and Manchester City being relegated, City have the longer charge sheet (Chelsea have not been charged yet, but have declared shortcomings). However, they also have very good lawyers. They might get a points deduction, but nothing more. It will probably take two years to resolve.
With a government regulator soon to be on the statute book, the Premier League is showing it can be tough with its members. However, expelling the most attractive teams with global appeal wouldn't do much for its business model.
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