Morecambe FC has been issued with a financial penalty of £5,131.82 alongside a one-transfer window fee restriction, suspended for two years, as a result of the Club failing to meet its payment obligations in accordance with EFL Regulations.

The Club defaulted in relation to the amount owed to HMRC earlier this year and in March 2024 was placed under a registration embargo.

In June 2024, after accumulating over 30 days of late payments within a 12-month period, the EFL issued the Club with a financial penalty relevant to the breach, alongside imposing the automatic three-transferwindow fee restriction as set out in the Regulations.

In such circumstances the Club can appeal the sanction and ask an independent Disciplinary Commission to consider the specific circumstances. Morecambe FC exercised this right.

On full review of the relevant factors leading to the breach, the Commission upheld the issuing of the financial penalty but felt that, given the additional mitigations put forward, it was appropriate to reduce the fee restriction to one transfer window, suspended for two years.

The restriction will be triggered should there be a further breach of the current time-to-pay agreement between the Club and HMRC.

The EFL accepted the explanation for the late payment provided by the Club during the hearing and given the unique circumstances of this case is satisfied with the Commission’s findings.

The registration embargo placed on the Club in March 2024 following the initial breach has now been lifted.

The Commission’s decision can be viewed here.