Sheffield Wednesday have been handed a 12-point deduction by an independent disciplinary commission which will be applied next season.

The club are understood to have broken financial fair play rules for the three season reporting period ending with the 2017/18 season, specifically the EFL's profitability and sustainability rules.

The club have released a statement since the news broke, explaining their disappointment at the decision.

It read: “Sheffield Wednesday acknowledges the decision of the independent disciplinary commission announced today.

“The club is extremely disappointed that the commission has imposed a 12-point deduction to be applied next season and awaits the written reasons for this decision.

Sheffield Wednesday have been handed a 12-point deduction for next season

“The club welcomes the decision that the commission cleared Sheffield Wednesday of the charge of acting in bad faith in its dealings with the EFL.

“Further, the commission decided not to apply a 12-point deduction this season, thereby imposing relegation.

“The club will await the written reasons for the sanction and upon receipt will digest and consider the full detail with its legal advisers before making any further comment.”

Garry Monk's side will start the season with a 12-point deficit

The EFL have also released a statement explaining why the club have been docked 12 points.

It read: “The Club was charged in November 2019 and referred to an independent Disciplinary Commission, which conducted a full hearing at the end of June 2020, before finding the Club guilty based on the fact that the Club should not have included profits from the sale of Hillsborough Stadium in the Club’s financial statements for the period ending July 2018.

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“The Club was found not guilty of a further charge of breaching its duty of utmost good faith to the EFL by deliberately concealing information from the League in respect of filings made in respect of the Profitability and Sustainability Rules.”

The club would have been relegated from the Championship if the punishment had come into play for the recent season.

No specific reason appears to have been given why the club were not handed a points deduction for the current season.