Manchester United confirmed job cuts and increased ticket prices on Wednesday as the club faces financial challenges in the third quarter of the year.
The Premier League club has been undergoing substantial changes since British billionaire Jim Ratcliffe acquired a 27.7% stake in the club and assumed control of its football operations.
The 20-time English champions ended last season in eighth place in the Premier League. The club’s management and owners have been reviewing all aspects of its operations.
As part of a club-wide redundancy programme, United plans to cut approximately 250 jobs and raise ticket prices by around 5% for the upcoming season.
Erik ten Hag will remain as head coach. The club has appointed a new CEO, finance chief, sporting director, and well-known technical director.
United’s financial situation has been tough, with a net loss of £71.4 million for the three months ending March 31, compared to a loss of £5.6 million in the same period the previous year. Player and staff wages increased by 7.3%, reaching £91.2 million, while the club’s debt stood at $650 million at the end of March.
The club anticipates annual revenue of about £660 million and an adjusted core profit of around £140 million for the year ending June.
Jim Ratcliffe has revealed that the club will not overspend in the transfer market amid criticism of the Glazer family’s management over the past decade.
Manchester United will compete in the Europa League next season, having secured a spot by winning the FA Cup final against Manchester City. The club’s plans and future strategy also include reconstructing Old Trafford stadium.
New CEO Omar Berrada will join United from Manchester City parent company City Football Group this weekend.
