The Clarets are expected to soon confirm their return to the Premier League as they sit 17 points clear of third-placed Middlesbrough with 10 matches to play.
But they have been delivered a setback by the EFL, and it comes when the transfer window is not open.
Burnley have explained why the EFL have taken such action and it relates to a change of auditor who is a person who oversees the club’s financial transactions earlier on in the season.
A club statement said “in our continued efforts to improve and move forward Burnley Football Club we made the decision to change our auditors in November and the transition has taken longer than we anticipated,”
“We can confirm that we have provided draft accounts and financial information to the EFL’s Club Financial Reporting Unit and we continue to have regular dialogue with the unit to ensure we remain as open and as transparent and answer any questions the League may have.”
Burnley claim that they decided to switch auditors back in November but the transition has not gone as smoothly as they would have liked.
Since Burnley submitted their accounts late due to their change of auditors, the EFL decided to act.
Although the club themselves believe that the draft accounts and financial information that they have submitted are clean with official submissions set to take place in April.
Even though it is never a good sign when a club goes under a transfer embargo, it should not really affect Vincent Kompany’s men at all.
The transfer window does not open for another few months, and the accounts will be submitted by April officially, in which the embargo should be removed.
Kompany will want the situation resolved by the summer to allow him to build a squad capable of staying in the Premier League.
Burnley’s six-year spell in the Premier League under Sean Dyche came to an end last May. Dyche was sacked just before the end of he season and his temporary replacement Mike Jackson failed to keep the club afloat after a 2-1 loss to Newcastle on the final day.
The Clarets now sit 13 points clear at the top of the Championship table.
Eyebrows were raised when Kompany was named as Dyche’s permanent success last summer, but the Belgian has done a brilliant job at Turf Moor.
Burnley have dominated the Championship this season and will be looking forward to a promotion party in the near future.
They beat Wigan 3-0 on the weekend and Sheffield United suffered a loss from Luton Town. The gap to Middlesbrough in third is now 17 points.
But if the off-field situation drags on longer than anticipated, then it could affect Kompany’s early transfer moves in the summer, so it’s important that it is dealt with swiftly.