Grounds for concern
Reporter: Lobby Correspondent
Date published: 28 October 2009
Fans could pay for football club tax rises
MANCHESTER United and City supporters could be hit with rising ticket prices to cover a whopping increase in business rates — but Latics fans look set to escape.
After a revaluation exercise by the taxman, Old Trafford chiefs will have to pay £3.1m in business rates next year — up £1.3m from the current charges.
The levy on the City of Manchester Stadium will also rocket — from £970,000 to £1.6m.
United and City are among 44 clubs in the Premier League and Championship — the top two divisions in English football — that government opponents say will end up paying an extra £12m a year in taxes on their grounds, under the new valuations of business properties.
Business rates are the commercial equivalent of council tax. And Shadow Communities Minister Justine Greening fears fans might end up footing the bill.
She said: “Even football, our national sport, is not safe from Gordon Brown’s tax rises.
“If clubs pass on these extra costs, it could mean even higher ticket prices for fans. I’m sure many will think it is time to show this government the red card.”
Latics, who currently play in League One — England’s third professional tier — appear to have escaped lightly.
The Boundary Park bill is still expected to rise, but much less significantly — from £25,947 to £28,372.
Oldham Athletic chief executive Alan Hardy said: “If there is an opportunity to appeal, then we will take that action.
“If we are found to have to pay the increased charges I would hope that we would be able to absorb it because it is a small amount, and then it would not affect the entrance charges at the turnstiles.”
The impact of the changes on other clubs varies wildly. Derby County’s bill is set to drop by 40 per cent but Championship rivals Reading will see theirs go up by 213 per cent.
A Communities and Local Government spokesman said: “Football grounds are not treated any differently than any other business property and are liable for rates based on their rental value not sporting success — many will actually see rates come down.
