Manchester United gave an alarming message about their finances on Thursday.
In response to a letter from supporters’ groups about rising ticket prices at Old Trafford, United responded by saying: “We are currently making a significant loss each year – amounting to over £300m in the last three years .
“This is not sustainable and if we do not act now we are at risk of not complying with PSR/FFP requirements in the coming years and significantly impacting our ability to compete on the field.”
Since Sir Jim Ratcliffe and Ineos arrived at the club as investors, there have been a series of stories about cuts and savings being made. There have been 250 redundancies for club staff, funding for club legends cut or reduced and behind-the-scenes restructuring.
It has been short-term pain with the ambition of long-term gain – United believe the restructuring could lead to a saving of £40m in the future. The situation has also been a theme this January transfer window, with homegrown players such as Alejandro Garnacho linked with potential sales.
But the urgency of the need to get back on the ladder has been highlighted by this latest note from the club, especially with Ruben Amorim’s side struggling in the bottom half of the Premier League table and looking to miss out on qualification for the lucrative Champions League football as well. once.
“It’s a serious situation, in their words,” he says Sky Sports News Chief Reporter Kaveh Solhekol.
“United reported a net loss of £113m in their latest accounts and they have lost more than £300m over the past three years. New co-owner Sir Jim Ratcliffe has been sacking staff, cutting costs and raising prices tickets.
“Every season United spend outside the Champions League hits them hard in the pocket. Judging by their league position, things will get worse before they get better.”
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Sky Sports News’ senior reporter Kaveh Solhekol discusses how clubs are improving revenue by raising ticket prices and getting rid of concessions, and explains the response Manchester United sent to their supporters group in this regard.
Interestingly, this statement about the need to tighten belts comes in a week in which United were ranked fourth in the Deloitte Football Money League 2025, with their £651.3m revenue surpassed only by Real Madrid, Manchester City and Paris Saint-Germain.
But poor sports performance has taken its toll. As well as Champions League absences, there has been huge transfer spending in recent seasons, with over £600m spent on players for Erik Ten Hag. United also had to pay the Dutchman compensation after extending his contract in the summer and then sending him off 12 games into the campaign.
With Amorim seemingly in need of a squad refresh and the club bringing in players who suit his different system and style of play, United may once again be forced to claw their way out of trouble. Which brings us back to the questionable increase in ticket prices and discounts.
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Kris Boyd was critical of Man United after their late win over Rangers in the Europa League, saying they need to be ‘much better’ and that they still have a long way to go to compete at the top level.
United supporters’ groups have labeled ticket price hikes in recent years as ‘largely useless’ in the grand scheme of the club’s huge revenue.
“The co-owners probably see the price increase as a marginal gain,” says Solhekol.
“United are saddled with huge debts and they have to respect the financial regulations of the Premier League and UEFA.
“In general, the more you earn, the more you can spend – especially under the new Premier League team cost control rules coming in next season.
“United need to cut costs and maximize revenue. Ticket prices go up, mass redundancies and cost-cutting are all moot when fans can point to players making a fortune and not performing on the pitch.
“Many clubs have owners who have put significant funds into their clubs. Being owned by the Glazer family has cost United more than £1 billion. United’s long-term debt – the money the Glazers borrowed 20 years ago to buy club – it’s still $650m (£526m).
Could Man Utd be in breach of PSR/FFP rules?
On the face of it, United’s claim they have lost £300m over the past three years would put them in breach of PSR rules, which only allow a loss of £105m over three seasons.
However, there are allowances within these rules, with clubs able to stretch transfer fees paid over multiple accounting periods and write off costs deemed to be “in the general interests of football”, such as infrastructure, women’s teams and academies.
Earlier this month we reported that no Premier League clubs were charged with breaching the PSR for the three-year period between 2021-2024.
More importantly, the PSR is set to be replaced by squad cost rules next season, which will limit club spending to a percentage of their revenue.
So for now, United are within bounds. But as the club itself has warned, decisive steps are required now to avoid punishment in the future.
