Manchester United have revealed that hiring Dan Ashworth and parting ways five months later cost them £4.1m. That figure covers the compensation paid to Newcastle and the payoff the sporting director received when he departed in early December but not his wages.
Ashworth’s exit came after the sacking of Erik ten Hag and his staff in October, which cost United £10.4m. United made great effort to prise Ashworth from Newcastle but a decision was made for him to depart after a summer of underwhelming recruitment and amid a difficult relationship with the minority owner Sir Jim Ratcliffe.
The figure was included in United’s latest quarterly financial results. They show revenue was down 12% year-on-year to the end of December 2024, caused by a drop in broadcast money after United failed to qualify for the Champions League. The club recorded a £27.7m loss over the three-month period but the balance sheet was helped by an £80m cash injection from Ratcliffe’s company Ineos.
United’s financial problems have become increasingly apparent. Ratcliffe is to instigate a second round of redundancies, 250 employees having left since he invested in December 2023. It is anticipated a further 200 jobs will go, something Ratcliffe believes is necessary to avoid United going bust.
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“We recognise the challenges in improving our men’s team’s league position and we are all working hard, collectively, to achieve that,” United’s chief executive, Omar Berrada, said.
The head coach, Ruben Amorim, has admitted the club need to sell players before they can buy. The wing-back Patrick Dorgu, who joined for £20m from Lecce, and the £1.5m defender Ayden Heaven from Arsenal were the only winter window arrivals, as United having to cut their cloth accordingly.
Limiting expenditure has become a key tenet under Ratcliffe. The former manager Sir Alex Ferguson will lose his £2m annual ambassadorial salary, and the former players Bryan Robson, Andy Cole and Denis Irwin will be paid less as ambassadors.
Ineos is in talks with Tottenham to cut short a five-year sponsorship deal, signed in 2022, to be the club’s official 4x4 vehicle partner. The discussions, described as amicable, come as the petrochemicals firm attempts to end its partnership with New Zealand Rugby early.
Arsenal announced a loss of £17.7m in the 2023-24 financial year despite record revenue after wage costs increased by nearly 40%. Revenue went up by 32% to £616.6m but the wage bill rose from £234.8m to £327.8m. Arsenal said: “The total profit on sale of player registrations was £51.1m.”
