According to The Athletic’s David Ornstein and Jack Pitt-Brooke, Tottenham Hotspur have borrowed £175 million from the Bank of England as they look to ease the financial pressure amid the coronavirus crisis.
Spurs estimate they could lose more than £200 million of revenue in the period from the start of lockdown to June 2021, and are preparing ahead.
The £175 million loan isn’t for transfers, and the club will look to come up with a transfer budget for signings in the summer transfer window by selling some of their players.
The loan will have to be repaid in April 2021, or they will have re-draw it for another year if they are unable to.
Spurs reckon the loan will give them the needed financial flexibility and additional working capital during the crisis, and are one of the only two Premier League clubs (the other being Manchester United) eligible for the government’s Covid Corporate Financing Facility.
With games set to be played behind closed doors for the rest of the season and until further notice, Tottenham, like the rest of the other teams, won’t be able to make any money on matchdays.
Selling their stadium’s naming rights and hosting non-football events are also postponed, and Levy’s plan to secure a deal worth around £25 million per annum for 15 years – which would have seen them earn a world-record £375 million as far as naming rights go – is no longer feasible.
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