Relegated Championship side Bolton Wanderers on Monday announced the appointment of administrators, with the club set for a 12-point penalty at the start of next season in League One.

Wanderers filed their notice of intention to appoint administrators last week after a winding-up order was adjourned at a 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) and said the case would be reconsidered on May 22.

Administration would see Bolton begin life in the third tier of English football with a 12-point penalty.

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 English Football League said the club were guilty of misconduct and would face disciplinary proceedings.