Reading were handed a second points deduction of the season as a result of HMRC issues.

The Royals have already been docked four points this season for failing to pay wages on time on multiple occasions in the last calendar year.

However, things have got worse as Reading have been late paying HMRC for more than 100 days in the last calendar year - new EFL regulations only permit up to 80.

The additional points deduction will see them lose a further two points, taking their overall deducted total to six this season.

It means the club will have suffered deductions totalling 18 points since 2021, with a further two points suspended.

Reading were five points clear of the relegation zone in League One in 16th place, however the latest deduction sees them drop to 19th spot and just three points off the the drop zone.

The club said in a statement: "Reading Football Club can confirm an immediate two-point penalty has been applied as a result of persistent late payments to HMRC in 2023. This follows a decision of an EFL Disciplinary Commission yesterday.

"The club has also received a further suspended two-point penalty, which will be activated should there be any further late payments to HMRC or identified football creditors (EFL Regulations 52.6.1 to 52.6.3) this season. 

"The points deduction will be applied to our Sky Bet League One total with immediate effect.

"Furthermore, Mr Dai has been ordered to pay a £100,000 fine payable within twenty-one days. Should this money not be received a further suspended fine of £100,000 will be activated, and an additional fine of £100,000 will be imposed if the money is not received within five weeks."

With 11 matches remaining, the Royals now face a real scrap to avoid relegation to League Two.

Fans are furious with the club’s owner Dai Yongge who has seen the club fall from the cusp of promotion to the Premier League to the prospect of playing in League Two within seven years.

The Reading owner invested over £200million in the hope of securing promotion to the Premier League, a move that backfired massively.

Since then the club have seen seismic losses in the club's accounts and an inability to pay player wages, staff members, suppliers and the HMRC who have issued multiple winding-up petitions.

Such is the level of fan frustration, an organised protest saw their clash with Port Vale abandoned last month with supporters storming onto the pitch at the Select Car Leasing Stadium in an attempt to force Yongge to sell their beloved club.

Chants of 'Get out of our club' and 'we want Dai Yongge out' were followed by hundreds of tennis balls being thrown onto the pitch at Reading's home ground.

But speaking to talkSPORT, Reading chief executive Dayong Pang says that the fans protests are actually harming their hopes of selling the club.

He said: "I share the frustration about the selling process.