The Covid-19 pandemic was an extremely difficult time for everyone, including Manchester United.
The spread of Coronavirus saw football grind to a halt in the 2019-20 season with the Premier League suspended for over three months.
Staff from around football clubs were put on furlough, although United opted not to use the scheme for their 900-plus full-time staff.
With fans unable to attend Old Trafford, the revenue generated by clubs took a huge hit and many suffered significant losses.
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The BBC reported that United suffered a £70million drop in expected revenue as a direct result of the Covid-19 pandemic.
Manchester United came close to points deduction
Stefan Borson – a former financial advisor to Manchester City – spoke about United’s finances and revealed that the club came close to breaching Profit and Sustainability Rules had it not been for an “exceptional” Covid allowance.
“Bottom line is when you drag that down on the three-year assessment, United would have failed PSR for the season for the season just gone, save for two things,” Borson told talkSPORT.
“One, they were given, it appears, an exceptional allowance of £40million for Covid in 2022, which no other club had.
“The most any other club had was about £1million in that year. We don’t know how they got it.
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“On top of that, it seems they’ve been given allowance for around £35million of exceptional costs relating to the share sale to Ratcliffe which, to be honest, the Glazers should have paid that themselves anyway given they were the main beneficiary.”
Had United breached Profit and Sustainability Rules, they would have faced a points deduction similar to those handed out to Everton and Nottingham Forest last season.
Kieran Maguire reveals truth on £40m payment
Borson’s claims have caused an uproar with rival fans wondering why United were given a £40million allowance for the impact of Covid-19.
However, Kieran Maguire – who has partnered with GRV Media – has rubbished all claims of “corruption”.
Via X, the football finance expert revealed four reasons why United were given the £40million payment.
Maguire posted: “I’ve been asked by a few people to investigate £40m Covid allowance that Man Utd have in 21/22 accounts. Have spoken to senior sources at Club & elsewhere.
“The reasons are 1: Cancellation of Summer 2021 tour, 2: Bad debts caused by commercial partner insolvency, 3: Club unable to fulfil sponsorship partner obligations in summer 2021, 4: Broadcaster rebates PL & UEFA.
“Because MUFC are listed in NY they have to disclose more information than other clubs, many of whom have Covid claims but not shown in accounts.” He added, “Conclusion: No corruption from PL”
Maguire’s explanation puts to bed any complaints from rival fans about United’s Covid allowances.
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