Bolton Wanderers will start next season in League One with a 12-point deduction after going into administration, the English Football League confirmed on Monday.

Wanderers, who finished second bottom in the second-tier Championship this season, announced earlier on Monday they had appointed administrators.

“The EFL can confirm that it has been formally notified that administrators have been appointed in respect of Bolton Wanderers Football Club,” read an EFL statement.

“As a result, the club is now subject to a 12-point deduction and, in accordance with EFL regulations, the sporting sanction will take effect next season in League One. The EFL will now commence discussions with the administrators with the aim of achieving a long-term future for the club.”

Wanderers filed their notice of intention to appoint administrators last week after a recent winding-up order was adjourned at a court hearing in London.

“The decision was finally made for the appointments which it is hoped will ensure the continued existence of the club, one of the founding members of the Football League,” read a statement on the club’s official website.

Former Watford chairman Laurence Bassini had made a takeover bid for the former Premier League outfit but Bolton said earlier this month that the deal was off. A judge last week heard that the club owe the taxman more than £1 million ($1.3 million).

Bolton were unable to fulfil their final home league game of the season against Brentford after players went on strike in protest at unpaid wages. The EFL said the club were guilty of misconduct and would face disciplinary proceedings.