SHEFFIELD Wednesday are set to start the 2020-21 Championship season from the bottom of the table after being handed a 12-point deduction by the EFL.

The south Yorkshire outfit, who finished 16th this campaign, eight points clear of the drop zone, have been punished for breaching financial rules.

An independent disciplinary commission, appointed under English Football League regulations, punished the Owls after deeming they should not have included profits from the sale of Hillsborough stadium in statements for the period ending July 2018.

The club said it was “extremely disappointed” with the verdict but welcomed the decision not to enforce the penalty this term.

The call to not impose the deduction for the 2019-20 campaign has been branded "irrational" by Charlton Athletic, who are considering a legal challenge having finished eight points below Sheffield Wednesday in 22nd, meaning they are set to be relegated into League One.

But as it stands, Cherries will have a 12-point headstart on the Owls when the 2020-21 Championship campaign begins next month.

Sheffield Wednesday, owned by Thai businessman Dejphon Chansiri, intend to await written reasons for the sanction and “consider the full detail with its legal advisers” before deciding its next step.

They were cleared of a second charge of acting in bad faith by “deliberately concealing information” from the EFL.

“Sheffield Wednesday acknowledges the decision of the independent disciplinary commission announced today,” read a club statement.

“The club is extremely disappointed that the commission has imposed a 12-point deduction to be applied next season and awaits the written reasons for this decision.

“The club welcomes the decision that the commission cleared Sheffield Wednesday of the charge of acting in bad faith in its dealings with the EFL. Further, the commission decided not to apply a 12-point deduction this season, thereby imposing relegation.”

Hillsborough was sold to a company owned by Chansiri for around £60million.

The EFL charge, brought in November 2019, related to “how and when” the stadium deal was completed.

Without the transaction, Wednesday would have posted a pre-tax loss of £35.4million for the financial year covering the 2017-18 campaign.

The EFL statement read: “An independent disciplinary commission, appointed under EFL regulations, has ruled that Sheffield Wednesday will receive a 12-point deduction for breaching the league’s profitability and sustainability rules for the three season reporting period ending with season 2017-18,” read an EFL statement.

“The sporting sanction will take effect in season 2020-21.”