Reading have been placed under an immediate transfer embargo for failing to pay HMRC on time again, the Reading Chronicle understands.

Due to pay a bill last week, the club are yet to pay the 'significant' amount and have been placed under an embargo.

This comes less than a month after the club were served a winding-up petition for the same issue.

Set for a date in court on August 7 for the last bill, which was eventually paid, it remains to be seen how this update will impact the hearing.

EFL charges remain outstanding against the club and owner, Dai Yongge, for late payment of staff wages.

New boss Ruben Selles had hoped for 10 new signings and despite making additions last week, it looks like incomings could be slowed by the fresh embargo.

There is less than a fortnight until the start of the new League One campaign.

Both Reading Football Club and the EFL have been approached for comment.