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Government reveals fears over Everton agreeing a deal with US firm 777 partners as the Premier League side's hunt for investment faces yet another setback

Everton's hunt for investment is facing another setback after Government officials expressed concerns over the club agreeing a deal with US firm 777 Partners.

Whitehall officials have discussed 777’s suitability for buying into the Premier League and whether managing partner Josh Wander would pass the owners’ and directors’ test.

It comes after Everton suffered a significant blow last week when MSP Sports Capital withdrew from exclusive negotiations over a proposed £150million injection.

Toffees owner Farhad Moshiri has since resumed talks with 777, who had seen their offer of investment rejected in favour of MSP’s bid in May.