The alleged breach of the league's profitability and sustainability rules is in relation to the period ending with the 2021-22 season.

In a club statement, Everton said they were "disappointed" by the Premier League's decision.

"The club strongly contests the allegation of non-compliance and together with its independent team of experts is entirely confident that it remains compliant with all financial rules and regulations.

"Everton is prepared to robustly defend its position to the commission. The club has, over several years, provided information to the Premier League in an open and transparent manner and has consciously chosen to act with the utmost good faith at all times."

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The independent commission will be chosen by Murray Rosen KC, who is currently the chair of the Premier League Judicial Panel. He will select a three-member panel to form the commission, which will meet behind closed doors.

These can be selected from among the 15 members of the Judicial Panel or from outside the organisation. Either party, Everton or the Premier League, can appeal the judgment, which would then go to the Premier League Appeal Panel.

The club has recorded losses of £371.8m over the past three years, dwarfing the Premier League cap which allows clubs to lose a maximum of £105m over the time period.

Clubs who break the Premier League's Financial Fair Play rules can be fined or deducted points.

However, clubs have been allowed to write off losses caused by the pandemic; in their latest accounts Everton said £170m of their losses were caused by the pandemic.

Clubs who break the Premier League's Financial Fair Play rules can be fined or deducted points.