Man City ruling puts spotlight on Man United’s huge debt
Man City ruling puts spotlight on Man United’s huge debt
Manchester United have paid an estimated £852m in net interest since the Glazer family’s leveraged takeover of the club in 2005, according to football finance blogger Swiss Ramble, as Manchester City’s financial ruling puts the finances of their city rivals under renewed scrutiny.
The figure was highlighted in a BBC report on Monday following the Premier League panel’s ruling that Manchester City’s income had been overstated by more than £830m.
“The club’s income was hugely overstated by over £830 million,” the panel said.
According to BBC Sport, the ruling came less than five days after United filed their end-of-year accounts with the New York Stock Exchange for the financial year ended June 30, 2026.
The accounts showed that United paid £37m in interest during the year, up from £34m the previous year.
Swiss Ramble’s estimate puts United’s cumulative net interest payments since the Glazer takeover at £852m.
United’s overall debt has also risen to £1.15bn after the club borrowed an additional £90m, according to its latest accounts.
That compares with £667m in debt in the accounts to June 2021.
The club reported record revenue of £677.6m and projected revenue of up to £760m for the 2026-27 financial year.
United chief executive Omar Berrada said on the club’s latest accounts: “While these results confirm that we are on the right trajectory, we will continue to take a disciplined approach to ensure our finances remain sustainable.”
The club also disclosed that it had spent £191.7m on new players and associated costs since June 30, with payments due over the next five years.
United’s transfer debt stood at £375m before June 30, with £218m of that amount due before June 30, 2027.
The club also said it could become liable for another £122.8m in potential contract payments if players already signed meet pre-agreed targets.
In June, United added $125m (£94.36m) to its main debt when it restructured its borrowing.
The club also said on September 23 that it had spent £63.5m on land for a proposed new stadium, although its precise funding model has yet to be determined.
United’s finances have also been affected by their transfer dealings.
When the latest transfer window closed on September 1, the club had generated £47m from player sales, placing them 11th in the Premier League for income from transfers.
Since selling Romelu Lukaku to Inter Milan for £74m in 2019, United have generated more than £25m from a player on only four occasions, involving Mason Greenwood, Scott McTominay, Rasmus Hojlund and Alejandro Garnacho.
BBC Sport reported that United have increasingly included sell-on and buy-back clauses in deals involving young players as part of a strategy to generate more revenue from player sales.
The club’s latest financial position comes amid continued protests by some United supporters against the ownership.
In June 2023, Premier League clubs voted to cap future leveraged buyouts at around 65 per cent of a club’s value.
The BBC said the negativity surrounding Manchester City’s financial case had indirectly “shone a light on the situation at Old Trafford”.
United must now balance its spending on the playing squad with its debt obligations, outstanding transfer payments and plans for a new stadium.
The club’s financial position also makes Champions League qualification significant because of the revenue attached to European football.
United received £80m in prize money for reaching the Champions League quarter-finals in 2017-18, compared with £31m for reaching the Europa League final in 2024-25.
Under their recently negotiated shirt deal with Adidas, United also face a £10m annual reduction if they fail to qualify for the Champions League.
