Manchester United are reportedly moving their London office to a smaller site in Covent Garden as Sir Jim Ratcliffe's cost-cutting measures continue.
Manchester United are reportedly scaling down their London office
Manchester United are reportedly scaling down their London office(Image: Shaun Brooks - CameraSport, CameraSport via Getty Images)
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Manchester United are reportedly scaling down their London office as part of Sir Jim Ratcliffe's ongoing cost-cutting measures. INEOS chief, Ratcliffe, has been fervently striving to economise since assuming control of United in February 2024.
Ratcliffe has been candid about his conviction that United must significantly curtail spending and has made approximately 450 staff redundancies since taking the helm. The petrochemicals tycoon has also withdrawn staff benefits and hiked ticket prices at Old Trafford.
In September, United announced record financial revenue of £666.5 million, record commercial revenue of £333.3 million, and record matchday revenue of £160.3 million. However, the measures persist, with United's London-based staff being relocated from their current Kensington office to a smaller Covent Garden site.
The Daily Mail reports that United have prematurely ended their 10-year lease in Kensington after just two years. A substantial rent reduction is understood to be involved, although the club have emphasised that cost-saving isn't the primary motive for the move, citing the new location as more beneficial for various reasons.
United refused to comment on the decision, according to the Daily Mail. United relocated to their impressive 23,000 square foot Kensington headquarters, complete with a rooftop terrace and two bars, in 2023.
The facility was deemed cutting-edge at the time, boasting an LED tunnel designed to give employees the sensation of being at Old Trafford.
However, Ratcliffe's arrival in February 2024 transformed the landscape, with the 73-year-old appointing consultants to carry out a review and pinpoint potential cost-cutting opportunities. Mass redundancies have ensued, with Ratcliffe showing no remorse for his choices.
During an appearance on The Business podcast last month, Ratcliffe explained: "The costs were just too high. There are some fantastic people at Manchester United, but there was also a level of mediocrity and it had become bloated. I got a lot of flak for the free lunches, but no-one's ever given me a free lunch.
"Manchester United has become mediocre," Ratcliffe remarked in a separate interview last season. "It is supposed to be one of the best football clubs in the world. We have to make some difficult and unpopular decisions. If you shy away from the difficult decisions, then nothing much is going to change.
"I know we get criticism in the press, but we do need to challenge the cost of running this club because what I want to be free for us to do is buy really good footballers, not spend so much of the money on infrastructure. We can't run a business at a loss, which is where United have been in the last couple of years."