Forest were good value for the win, though Ipswich came close to opening the scoring midway through the first half.
Manchester United languish 14th in the standings on 19 points, their worst placing to end a calendar year since they were 15th in 1989.
Liverpool's Diogo Jota bagged a last-gasp equaliser to salvage a breathless 2-2 Edraw against Fulham.
Some lament the FA Cup having lost much of its romance in recent years, in the face of obsession with the Premier League, but this tie had it in bucket loads.
Leicester City earned promotion back to the Premier League on Friday after nearest rivals Leeds United were beaten 4-0 by Queens Park Rangers, ensuring the Championship leaders will finish in the top two in the standings.
Images from Saturday's action in the Premier League.
English champions and runners-up since the league restarted in the 1946-47 season after World War Two:
Arsenal were held to a 1-1 Premier League draw by London rivals Fulham on a grey wet Sunday at Craven Cottage as Raul Jimenez scored early for the hosts and William Saliba equalised for the visitors at the start of the second half.
Liverpool strolled to a 2-0 victory over Brentford, while Newcastle drew 1-1 at Bournemouth.
The favourites to replace Erik ten Hag, who was sacked as Manchester United manager on Monday.
IMAGES from the Premier League matches played on Saturday.
A round-up of Saturday's action in the Premier League.
Manchester City thrashed West Ham United 4-1 in the Premier League on Saturday to claim their first back-to-back wins since October.
Images from Saturday's FA Cup quarter-finals.
Newcastle United made light work of north-east rivals Sunderland as Alexander Isak's double secured a 3-0 win and a place in the FA Cup fourth round at the Stadium of Light on Saturday.
Gout Gout underlined his startling potential and earned more comparisons with Usain Bolt by running the 200 metres in a wind-assisted 19.98 seconds at the Queensland state championships.
IMAGES from the Premier League matches played on Tuesday.
IMAGES from the EPL matches played on Saturday.
Welbeck extra-time winner sends Brighton into quarters
A brilliantly-worked goal by Ryan Christie and a Justin Kluivert penalty gave Bournemouth shock 2-0 Premier League win at home to 10-man Arsenal.
A round-up of Tuesday's action in the Premier League.
IMAGES from the Premier League matches played on Saturday.
IMAGES from Premier League matches played on Sunday.
Images from Sunday's action in the Premier League.
IMAGES from the Premier League matches played on Sunday.
Tottenham Hotspur stormed back from 2-0 down to beat Burnley 4-2 in their FA Cup third-round replay on Wednesday despite resting their top striker in the once-fabled competition.
Holders Manchester United will face Premier League rivals Wolverhampton Wanderers in the last 16 of the English League Cup after the draw was made on Saturday.
Manchester United were humbled 3-0 at home by Newcastle United in the League Cup fourth round
IMAGES from the Premier League matches played on Saturday
Middlesbrough moved within one victory of securing a golden ticket to the Premier League.
Manchester United and Liverpool, England's two most successful clubs, will do battle in the third round of the FA Cup after the draw was made on Sunday.
Police and NorwichCity are investigating an alleged racist message posted about the club's manager Chris Hughton on an unofficial Facebook page.
Marcus Rashford and Joshua Zirkzee bagged two goals apiece as Manchester United thumped Everton 4-0 on Sunday in new manager Ruben Amorim's first Premier League match at Old Trafford.
Ivan Toney, once Brentford's lynchpin in attack, has moved to Al-Ahli for 40 million pounds ($52.50 million).
Goals from Freddie Hinds, Bobby Reid and Niclas Eliasson put the visitors through to the third round. Watford finished with 10 men after Jose Holebas was sent off.
A summary of Thursday's action in the Premier League.
Having set one record as football's most expensive teenager, recent signing Anthony Martial has another one in sight when Manchester United play at home to struggling Sunderland at Old Trafford on Saturday.
Arsenal took the race to the final day last season and are strongly tipped to end Manchester City's dominance this time.
Bournemouth are in pole position in the race to be promoted to the Premier League after a 3-0 victory over fellow contenders Middlesbrough on Saturday.