It takes the total number of points deducted from the Merseyside team this season to eight points and pushes them closer to the relegation zone.

Previously the club had been docked ten points in November for exceeding permitted losses by £19.5m for the period ending with the 2021/22 season but this was reduced to six on appeal.

Before the latest immediate points penalty was announced, Everton sat 15th in the Premier League table, four points above the bottom three.

They now drop below Brentford into 16th place on 27 points, two points and two places above 17th-placed Nottingham Forest and 18th-placed Luton.

The latest points deduction relates to breaching PSR for a period ending with the 2022/23 season.

Everton were charged in January alongside Nottingham Forest, who were handed a four-point deduction themselves by the Premier League Commission, that they have since appealed and are awaiting a decision on.

The Commission said it would be "patently unfair" to defer Everton's points punishment because of the deduction given to Nottingham Forest.

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Premier League clubs are allowed to lose a maximum of £105m over three seasons but if they go over this figure they will breach PSR.

A three-day hearing took place last month during which Everton presented a range of mitigating factors after it admitted a breach of £16.6m, the Premier League said.

Before any mitigating factors were presented, the "starting point" of the new deduction was five points.

In response to the deduction, Everton said that they were preparing to appeal the Premier League Commission's decision.

In a statement, the Liverpool-based club added: "While the club's position has been that no further sanction was appropriate, the club is pleased to see that the Commission has given credit to the majority of the issues raised by the club, including the concept of double punishment, the significant mitigating circumstances facing the club due to the war in Ukraine, and the high level of co-operation and early admission of the club's breach.

"Everton remains committed to working collaboratively with the League on all matters relating to PSR but is extremely concerned by the inconsistency of different commissions in respect of points deductions applied.

"The club would like to place on record its thanks to the Fan Advisory Board and other fan groups for their submissions during this process, and to all Evertonians for their ongoing patience and unstinting support."