Nottingham Forest transfer claim made as accounts analysis shows challenge facing Reds

Nottingham Forest “will come under pressure” to make a significant player sale this summer if they do not secure promotion, it has been claimed.

The challenges of being competitive in the Championship, battling with teams who benefit from parachute payments, have been laid bare by football finance blogger Swiss Ramble, who has analysed their latest set of accounts. The Reds posted an operating loss of more than £34million when their accounts for the year ending June 2021 were posted earlier this month - a figure which was reduced to £15.5m pre-tax.

The accounts cover a 13-month period, rather than the usual 12-month timeframe, and reflect a full season of playing behind closed doors due to the coronavirus pandemic. Swiss Ramble has compared Forest’s figures with other clubs in the Championship, as well as where they stand in remaining within the English Football League’s Profitability and Sustainability rules.

Having analysed the accounts, Swiss Ramble wrote on Twitter: “#NFFC said that remaining within the EFL Profitability and Sustainability Rules is a ‘high priority’. I calculate they have just met the target, after allowable deductions for academy, community, infrastructure and COVID (limited to £5m a year), but excluding loan write-offs.

“Like most Championship clubs, #NFFC make large operating losses, partially offset by player trading, as they compete against those with parachute payments. If they do not secure promotion this season, they will come under pressure to sell rising stars like Brennan Johnson."

During the financial year, owner Evangelos Marinakis converted an additional £12m worth of loans to the club into shares, in a continued show of commitment. Total converted equity by the Greek now stands at more