Manchester United’s debt crisis exposed as Manchester City financial ruling highlights Premier League divide

Manchester United paid £37m in interest in the year to 30 June 2026, taking the total cost of interest payments since the Glazer family takeover in 2005 to an estimated £852m.

The figures were published less than five days after a Premier League commission ruled that Manchester City’s owners had overstated the club’s income by more than £830m in one of the biggest financial cases in English football.

According to the BBC, the United figures were included in the club’s expanded financial accounts submitted to the New York Stock Exchange. Interest payments rose from £34m the previous year, while the club’s overall net debt reached £1.15bn.

That compares with £667m in June 2021. United also took on a further £90m in loans and spent £191.7m on new players, including Carlos Baleba, Andre Santos and Youri Tielemans.

Chief executive Omar Berrada said: “While these results confirm that we are on the right path, we will continue to take a disciplined approach to ensure the sustainability of our finances.”

The club recorded a record revenue of £677.6m and expects that figure to rise to £760m in 2026-27 after returning to the Champions League and finishing third. However, the scale and timing of its liabilities remain a major concern.

Transfer debts and stadium plans

Before 30 June, United’s transfer-related debts stood at £375m. Of that sum, £218m must be paid by 30 June 2027, while a further £122.8m could become payable through performance-related clauses in player deals.

The club restructured its debt in June, adding £94.36m, and then committed £63.5m to land for a proposed new stadium. No financing model for the project has yet been confirmed.

Many supporters believe that money would have been better used strengthening the squad managed by Michael Carrick, with United currently 12th in the table.

There has been one relative financial success. United’s wage bill fell from £313m in 2025, the fifth-highest in the Premier League, to £302m in 2025-26. With the club absent from European competition, wages accounted for 45% of revenue, the lowest ratio in the league.

The source article also says Carrick achieved the club’s third-place finish with fewer resources than their rivals.

United’s transfer sales remain a significant weakness. Since Romelu Lukaku was sold for £74m in 2019, the club has sold only four players for more than £25m: Mason Greenwood, Scott McTominay, Rasmus Hojlund and Alejandro Garnacho.

Last summer, United generated only £47m from player sales, ranking 11th in the league, while spending £148m. That was less than promoted clubs Ipswich Town and Hull City.

Champions League qualification vital

In 2023, Premier League clubs voted to limit debt-funded takeovers to 65% of a club’s value, in response to the Burnley deal. United supporters believe the measure came 18 years too late.

Berrada must now balance cost-cutting, reducing transfer liabilities and funding a new stadium with spending enough to secure Champions League football.

United earned £80m from reaching the Champions League quarter-finals in 2017-18, but received only £31m for reaching the Europa League final in 2024-25. Adidas also deducts £10m each year if the club fails to qualify for the Champions League.

When United face bottom club Tottenham at Old Trafford on 10 October, the match will represent more than an opportunity to collect three points. It will also carry major financial significance.