Club say transfer cash not funded by the taxpayer
Tottenham Hotspur’s transfer spending – including the imminent return of Gareth Bale – is not a concern for the Bank of England, which agreed a £175 million taxpayerbacked loan to the club in June,
has been told. Spurs’ summer outlay was last night set to rise to £72.5million and their net spend to £60.5 million, with a season-long loan for Bale expected to cost £15million in fees and wages at a time when they are losing millions a week due to the coronavirus crisis. The club were able to borrow £175 million from the Bank of England this summer at an interest rate of 0.5 per cent, under what is known as the Covid Corporate Financing Facility (CCFF), which was set up in March to support large companies affected by the pandemic.
The club said at the time that the money was to give them financial flexibility and additional working capital at a time when their losses might exceed £200million over the course of the year.
They also specifically stated it would not be used for player acquisitions, something was told yesterday was a “prerequisite” of its granting. was also told the Bank of England was confident the money had been ring-fenced and that Spurs were adamant that was the case.
Among the restrictions placed on them is one forbidding the chairBy man, Daniel Levy, who was paid a £3 million bonus for completing the club’s new stadium, from receiving a dividend should they not repay the money within a year.
Bank of England guidelines state that those using the CCFF “will be expected to provide a letter addressed already bought Matt Doherty and Pierre-Emile Hojbjerg for £15million each.
Whether the £175 million loan has had any impact on Spurs’ transfer spending is unclear. Had they not had access to the CCFF, Spurs could have taken out a commercial loan or their owners could have made up the shortfall.
Kieran Maguire, a football finance expert and lecturer in the subject at the University of Liverpool, said: “Their wage cost base is so far below that of the other large clubs that they probably had a bit more wriggle room to get out into the market – but not a huge amount. I think they would’ve needed some sort of funding.”
Spurs have avoided making the same level of redundancies as Arsenal, having last season reversed their decision to take advantage of the furlough scheme following criticism from fans.
Roy Hodgson has said Mason Greenwood should expect to “pay a price” for his breach of coronavirus protocols while on England duty.
Greenwood, the Manchester United forward, and international team-mate Phil Foden were dropped from the England squad after inviting two Icelandic women into the team hotel.
Hodgson, the former England manager, told TalkSport that players must show the appropriate “level of behaviour” that is expected at international level.
“When you make a mistake as big as he made, you should be expecting to pay a price,” said Hodgson, whose Crystal Palace side face United at Old Trafford on Saturday.
“If you are old enough to come in and hold down a regular spot at United and be called up for England, you have to produce the level of behaviour required at that level.”
Greenwood apologised for his actions, saying he only had himself to blame for his “huge mistake”.
He also said this week that he had shown “poor judgment” after being caught on camera apparently inhaling nitrous oxide from a balloon. The 18-year-old reportedly took the “laughing gas” weeks before his England debut in Iceland.
The Telegraph The Telegraph Penalty clause: Daniel Levy will not receive a dividend if Spurs fail to repay the £175m Bank of England loan within a year to HM Treasury that commits to showing restraint on the payment of dividends and other capital distributions and on senior [executives’] pay”. As well as the return of Bale, Tottenham are close to signing his Real Madrid team-mate, Sergio Reguilon, for £27.5million, having