Hull City have been hit with a transfer embargo by the EFL - and the consequences could well have an impact on Swansea City . According to our colleagues at Hull Live , the sanctions will last for three windows, meaning the Tigers will be unable to pay fee for a player until January 2027. It's believed Hull were informed of the decision on Thursday afternoon, with the decision reportedly due to the non-payment of a £1m loan fee to Aston Villa for youngster Louie Barry in contravention to the EFL's Regulation 52.2.3. Sign up to our Swansea City newsletter here . That rule states: "If a club is in default of payments due to another club (or club) under a transfer or compensation agreement the club shall be subject to a registration embargo such that it shall not be permitted to register any player with that club without the prior written consent of the league until such time as the agreement is honoured." Hull are believed to be confident of getting the sanctions reduced, but as things stand, their capabilities in the transfer market have clearly been greatly diminished. An embargo would certainly be the final nail in the coffin of any hopes of signing midfielder Lewis O'Brien this summer. Hull had been deep in conversations with Nottingham Forest over the last few weeks over the possibility of a move, and even put an offer on the table believed to be in the region of £5m. But even before this news broke, there were noises coming out of Humberside that interest had since cooled. One might understandably wonder if these impending sanctions was part of the reason. Regardless, as things stand, the prospect of a move to East Yorkshire now looks to be in serious doubt, with Wrexham now understood to be pushing hard for the midfielder. Swansea remain big fans of the 26-year-old, although where their capture of Ethan Galbraith now leaves their interest isn't yet clear. In any case, the news from Hull is only a marginal boost, with Forest still likely to demand big money for the former Huddersfield Town man. There certainly seems to be little chance of the Swans reaching into the £5m-£8m bracket that's been talked about in recent weeks. For Hull, this puts the brakes on preparations for the new season under Sergej Jakirovic, who replaced Ruben Selles in June. There could yet be a further blow, with these sanctions also casting some uncertainty around a move for striker Oli McBurnie, who recently left Spanish side Las Palmas on a free transfer. Clubs under embargo can technically still sign free agents, but only if they don't already have 23 'permitted players' in their squad. It means if Hull wanted to sign the striker under current conditions, they would have to convince the EFL he was part of their efforts to 'staff up', a measure that's intended to minimise the damage done by an embargo to the integrity of the overall competition. The prospect of signing-on fees or any other one-off payments would also appear to be off the table, which would put a dent into the package they are able to offer regardless. Sign up to the Swansea City WhatsApp service to get breaking news and top stories sent to your phone . Hull were previously thought to be leading the chase for the Scot, who had reportedly identified the the MKM Stadium as his preferred destination. Swansea have also placed the striker on the radar this summer, although it's not yet clear if they have yet firmed up their interest with a formal approach at this stage. Should a move to Humberside fall through, however, it might potentially push the door open for a return to the club he left in 2019. If only just a little bit.