According to HMRC data, at least 21 UK professional football clubs have VAT or corporation tax debts, reports accountancy and business advisory firm Lubbock Fine.
Some clubs are still dealing with debt, exacerbated by the Covid lockdown, while salary and operating costs have risen substantially over the same period. The firm reports HMRC’s increasing concerns that clubs might prioritise other expenses over meeting their tax obligations.
Graham Caddock, Director at Lubbock Fine, said: ‘HMRC often feels that it is at the back of the queue for debts and is now taking a much more aggressive approach to collect those overdue liabilities.
‘Many football clubs opt to delay tax payments – or not pay altogether. Clubs may prefer to face a fine from HMRC to upsetting other key stakeholders in the business – like players or suppliers.’
HMRC’s latest performance update statistics also show that ‘debt available for pursuit’ stood at some £39bn as at the end of December 2023, suggesting a 'wider crisis in unpaid debts’.
According to HMRC data, at least 21 UK professional football clubs have VAT or corporation tax debts, reports accountancy and business advisory firm Lubbock Fine.
Some clubs are still dealing with debt, exacerbated by the Covid lockdown, while salary and operating costs have risen substantially over the same period. The firm reports HMRC’s increasing concerns that clubs might prioritise other expenses over meeting their tax obligations.
Graham Caddock, Director at Lubbock Fine, said: ‘HMRC often feels that it is at the back of the queue for debts and is now taking a much more aggressive approach to collect those overdue liabilities.
‘Many football clubs opt to delay tax payments – or not pay altogether. Clubs may prefer to face a fine from HMRC to upsetting other key stakeholders in the business – like players or suppliers.’
HMRC’s latest performance update statistics also show that ‘debt available for pursuit’ stood at some £39bn as at the end of December 2023, suggesting a 'wider crisis in unpaid debts’.
