Manchester United’s managerial turnover set to push compensation bill beyond £108m

Manchester United’s spending on appointing and dismissing managers and sporting directors is expected to exceed £100m since Sir Alex Ferguson’s retirement if Mauricio Pochettino replaces Michael Carrick.

Pochettino, the United States manager, is regarded as the leading candidate to take charge at Old Trafford following Carrick’s dismissal.

United would reportedly have to trigger a release clause in Pochettino’s contract with the United States Soccer Federation, believed to be worth about $10m (£7.4m). The club could also face further costs to release members of his staff.

Compensation for Carrick and his coaching team, including Steve Holland and Jonathan Woodgate, is expected to be at least £5m. Carrick replaced Ruben Amorim in January and signed a two-year contract in May, but leaves with more than 18 months remaining on his deal.

According to the Telegraph, the potential appointment of Pochettino and the payments following Carrick’s departure would take Manchester United’s compensation bill over the past 13 years to just above £108m.

The figure comes as the club has cut 322 jobs during the past two years and recorded losses of £444m across the last seven seasons.

United’s post-Ferguson costs

Manchester United paid Sporting Lisbon £11m to appoint Amorim in November 2024. His dismissal, along with that of his staff, cost the club £8.2m.

Erik ten Hag’s contract was extended despite the club interviewing about six potential replacements. The Dutchman and his staff were then dismissed after 116 days, at a cost of £10.4m.

Ole Gunnar Solskjaer’s dismissal in 2021 cost £9.1m. United also appointed Ralf Rangnick on a six-month contract, with a two-year consultancy role planned after the 2021-22 season.

Rangnick did not take up that advisory position. His departure, together with the exit of his staff and other changes within the football department, added a further £14.7m to United’s compensation costs.

The club’s largest payout of the post-Ferguson era was £19.6m following Jose Mourinho’s dismissal.

Louis van Gaal left in 2016 after completing two years of a three-year contract, costing United £8.4m in total. David Moyes succeeded Ferguson in 2013 on a six-year deal but was dismissed after 10 months, with the club paying £4.9m.

United had already paid £2.4m in severance to former Ferguson-era staff whom Moyes did not wish to retain, including Mike Phelan and Rene Meulensteen.

The club also spent months trying to recruit Dan Ashworth from Newcastle United as sporting director in 2024. United paid £3m to appoint him, before paying a further £4.1m to dismiss him only five months later.