Reading FC Financial Crisis Deepens: £21.7M Loss in Relegation Season Sparks Club Sale Deadline

Severe Financial Woes Plague Reading FC

Reading Football Club's belatedly submitted 2022-23 financial accounts reveal a staggering pre-tax loss of £21.7 million - over £4 million worse than the previous year. The crisis-hit League One club now faces a crucial April 4 deadline for ownership change imposed by the EFL.

Financial Breakdown:

• Wage bill: £24.5 million (exceeding total income)
• Revenue increase: Despite rising income, losses grew from £17m to £21.7m
• Regulatory penalties: Six-point deduction for financial rule breaches contributed to Championship relegation

Ownership Uncertainty and EFL Sanctions

The club's turbulent season saw:

• Multiple failed takeover attempts
• Protests from disillusioned fans
• Transfer embargo (recently lifted but could return)
• Potential new sanctions if 2023-24 accounts aren't filed by March 31

Current League Position:

Despite financial chaos, the team shows resilience:

• 8th in League One table
• Just 2 points from playoff spots
• Riding 10-game unbeaten streak

Expert Analysis: A Cautionary Tale

BBC Radio Berkshire's Tim Dellor notes:

• Salary expenses remain "eye-watering" for a League One side
• Current financial model is unsustainable
• Club faces unprecedented scenario: playoff ban if ownership situation isn't resolved

The Royals have until April 4 to secure new ownership or face further EFL sanctions that could include being barred from competition entirely.

Road Ahead for The Royals

Key upcoming dates:

• March 31: 2023-24 accounts deadline
• April 4: Ownership change deadline

This financial crisis represents one of the most challenging periods in Reading FC's 152-year history, with the club's very future hanging in the balance.