Manchester United receive £50million financial blow caused by Glazer family
Man Utd's latest financial results were published last week and they revealed debt interest payments are set to soar.
Manchester United's debt interest payments will soar to £50million-a-year in just over two years' time, according to fresh analysis from the Manchester United Supporters' Trust (MUST).
United published their financial figures for the final three months of 2024 last week and MUST slammed "mismanagement" at the club. MUST highlighted the £1billion debt at Old Trafford and their fresh analysis of the numbers says debt interest payments will eventually increase to a staggering £50m per year.
United are currently burdened with a record amount of debt and £337m is due for repayment by June 2027, which is 28 months away. That debt is incurring interest at 3.79 per cent, but is likely to double when refinanced, meaning debt interest repayments are expected to reach £50m per year.
The financial outlook at United is bleak and failure to qualify for a European competition next season would cause more damage, as broadcast revenue will be slashed dramatically.
A spokesperson for MUST said: “At a time when the club has already hiked matchday members ticket prices to £66 a game, and when they’re currently reaching final decisions on next season’s ticket prices, the news that the cost of our debt is set to soar still further will be of enormous concerns to fans.
“The Glazers debt mountain is the original sin in the recent decline of Manchester United and the fact that fans are being asked to pay the price through higher ticket prices is not just wrong but counter-productive and futile.
"The £66 tickets will raise less than £2m this season, a drop in the ocean compared to the mounting cost of Glazer debt and more than £200m of transfer debt due to be paid this year.
"The only way out of this is for the owners to invest their own money, reducing the debt and interest payments. Alongside a ticket price freeze this could create the conditions for fans, owners, players and management to pull together to rebuild our great club.”
United made the mid-season decision to increase ticket prices to £66 per game in the Premier League in an effort to generate cash. Fans have protested against the rise of ticket prices and have argued supporters shouldn't be asked to pay for years of financial mismanagement at boardroom level.
Despite protests, Ratcliffe has remained committed to the ticket increase and MUST sent a letter to United's co-owner last month in an attempt to make him reconsider.
MUST said it was the "worst possible time" to make significant changes and argued everyone needed to "pull together" to lift the team's performances after a dismal season so far.