Fans of other clubs may be less than pleased to hear about the prospect of public funding for Manchester United’s new stadium, but the funding would be for associated works rather than the stadium itself. In other countries, not least the United States, there is public funding for stadium projects because of the claimed wider benefits. Indeed, local governments compete to attract sport franchises.
Influential Greater Manchester mayor Andy Burnham says he is expecting to secure more than £200mn in government funding for the regeneration of Old Trafford in the forthcoming spending review, paving the way for Manchester United to build a new stadium. Burnham told the Financial Times that he was having accelerated talks with ministers about his funding request and was confident of a “quick answer”.
Chancellor Rachel Reeves is due to outline the government’s public expenditure plans for the rest of the parliament on June 11. Asked if he was expecting a promise of cash in the spending review, Burnham said: “I am. Because if you’re going to go for growth in the way the government wants to, you just have to . . . get on with it.”
Prominent figures, including Burnham and former London Olympics chair Lord Sebastian Coe, believe the plan can also be a catalyst for far wider regeneration in the surrounding area, south-west of Manchester city centre.
However, in order for the club to build its new ground as intended, an adjacent rail freight hub would need to be moved to IPL North, a proposed new logistics hub in St Helens, Merseyside, said Burnham. The move would have the added benefit of freeing up rail capacity through Manchester’s existing congested rail corridor, he said, adding that a business case had been drawn up to justify government funding for the regeneration plans.
In January, Reeves said she was backing the Old Trafford regeneration project, which is expected to include thousands of new homes around the dramatically upgraded new stadium. Since then the mayor has been discussing his related regeneration plans for the area with the Treasury and the ministry for local government.
Due to a new accelerated process for mayors, Burnham said he no longer had to throw funding requests “into a black hole” and then wait for “white smoke”, adding that they had made “real progress” in those discussions. Reeves is also expected to visit Old Trafford in the near future, he said, “so that we can show her the site in a much more practical way”.
But the financing of the stadium remains unclear. The club made losses totalling more than £300mn in the three years to 2024 and Ratcliffe said that without severe cost-cutting measures introduced in recent months, the club could have run out of cash by the end of the year.
Labels
Andy Burnham Manchester United Old Trafford Premier League stadiums
West Bromwich Albion had effectively been in decline ever since the club was sold to a Chinese consortium in August 2016, paying a figure north of £200m to buy former owner Jeremy Peace’s stake. Controlling shareholder Guochuan Lai’s ownership was fairly disastrous for the club, but his unloved tenure finally came to an end after Bilkul Football WBA, a company ultimately owned by Florida-based entrepreneur Shilen Patel and his father Dr Kiran Patel, acquired an 87.8% shareholding in West Bromwich Albion Group Limited, the parent company of West Bromwich Albion Football Club. This change in ownership was urgently required, due to the numerous financial problems facing West Brom, including growing high-interest debt and serious cash flow concerns, following years of no investment from the former owner. Indeed, West Brom’s auditors had already rung the alarm bell in the 2021/22 accounts when they cast doubt on the club’s ability to continue as a going concern without making player s...
Tottenham Hotspur is in talks to sell a minority stake in a deal that could value it at up to £3.75 billion and pave the way for Joe Lewis and his family to sever ties with the Premier League football club. Tottenham chairman Daniel Levy is seeking an investment that values the club at between £3.5 billion and £3.75 billion, including debt. While the terms of any deal have not been finalised, City sources expect Spurs to sell about 10 per cent. The club is being advised by bankers from Rothschild on the sale. Tottenham wants to raise fresh capital for new player signings and to help fund the development of an academy for its women’s team, as well as a 30-storey hotel next to its north London stadium. The financier Amanda Staveley, who brokered the deal for Saudi Arabia’s Public Investment Fund to take over Newcastle United, is understood to be among the parties to have expressed an interest in Tottenham. Staveley’s fund, PCP Capital Partners, has raised about £500 million to ...
Millwall’s season was overshadowed by the tragic death of owner John Berylson following a car accident. The American had been an exemplary owner, beloved by the fans for his leadership, passion and generosity. Millwall’s finances had been pretty good during his tenure, which we shall explore by looking at the most recent accounts from the 2022/23 season, when the club narrowly missed out on a place in the play-offs after finishing 8th. Millwall’s pre-tax loss slightly reduced from £12.6m to £12.2m, as revenue rose £0.8m (4%) from £18.6m to a club record £19.4m and player sales improved from a £0.1m loss to £2.5m profit. However, other operating income dropped from by £1.1m from £1.3m to £0.2m, while operating expenses increased £1.7m (5%) from £31.6m to £33.3m. The main driver of the revenue increase was broadcasting, which rose £1.1m (12%) from £9.1m to £10.2m, though match day was also up £0.4m (7%) from £5.8m to £6.2m. In contrast, commercial fell £0.7m (19%) from £3.7m to £3....