Sheffield Wednesday Hit with Immediate 12-Point Penalty After Financial Collapse

Sheffield Wednesday have been plunged into further crisis after receiving an automatic 12-point deduction for entering administration, the EFL confirmed on Friday. The penalty leaves the Championship side rooted to the bottom of the table with -6 points, compounding their ongoing financial struggles.

The club filed administration papers at the Insolvency and Companies Court at 10:01 AM, triggering the sanctions under EFL regulations. This follows months of financial instability, including repeated failures to pay player wages on time and a reported £1 million debt to HM Revenue & Customs (HMRC).

In a statement, the EFL emphasized the move provides a "pathway to secure new ownership" but warned of immediate consequences: "The league table has been updated to reflect the points deduction. Our priority is to work with administrators to resolve uncertainties for staff, players, and supporters."

Dejphon Chansiri, the club’s owner, has faced intense scrutiny for his management, with mounting losses and a looming HMRC winding-up order cited as catalysts for the administration process. Kris Wigfield of Begbies Traynor, appointed as joint administrator, stated the firm aims to "protect creditors’ interests" and expedite a sale of the club and Hillsborough Stadium.

Sheffield Wednesday’s players issued a plea to fans ahead of Saturday’s match against Oxford United, urging supporters to return to Hillsborough: "Let’s make the ground a place teams fear. Together, we can fight for the points we need." The fixture will proceed as scheduled despite the turmoil.

Further penalties loom, as an independent commission will assess additional breaches related to unpaid wages, potentially leading to more points deductions. The club’s supporters’ trust has pledged to honor players during the match, signaling a fragile unity amid the chaos.

The Owls join a growing list of EFL clubs facing financial crises, with Derby County being the last to enter administration in 2021. Analysts suggest the administration process could take months, leaving the club’s future hanging in the balance.