Manchester United Foundation funding to be slashed by Sir Jim Ratcliffe as part of spending cuts
Funding for Manchester United’s charitable arm is to be hit as part of Sir Jim Ratcliffe’s swingeing off-field cost-cutting drive at Old Trafford.
The Manchester United Foundation, which spent close to £1 million last year on various good causes, is expected to be told to be more stringent from next year.
Ratcliffe has overseen radical cost-saving measures and job redundancies since taking control of football operations. A fresh cutback comes after club insiders also confirmed that £40,000-a-year funding for the Association of Former Manchester United Players is being slashed.
A “substantial” reduction in funding for the foundation is now anticipated, according to a report by Sky News, although Old Trafford sources insist “significant” support to the charitable wing will remain.
The foundation is expecting to learn the scale of the reductions it faces in the coming weeks, having last year received £175,000 for charity services. That figure includes managing the distribution of signed merchandise to individuals raising funds for charitable causes. The club also provided gifts in kind amounting to £665,000 last year – such as using the Old Trafford pitch.
Merchandise and the use of back-office services such as the club’s IT capabilities were also provided free of charge, accounts show.
The foundation’s work includes supporting local marginalised communities around Manchester and Salford. Street Reds targets eight to 18-year-olds, while Primary Reds works in school classrooms with five to 11-year-olds.
Ratcliffe has pumped $300 million (£238.6 million) of his own money into the club as part of his minority investment over the past year to improve the club’s financial position, but also demanded an unprecedented round of cost reductions. He cut perks for staff such as travel to the FA Cup final last season and a Christmas party, while Sir Alex Ferguson is also likely to leave his ambassador role.
“Manchester United is proud of the work carried out by Manchester United Foundation to increase opportunities for vulnerable young people across Greater Manchester,” a club source told Telegraph Sport. “All areas of club expenditure are currently being reviewed due to ongoing losses [£358 million of pre-tax losses over the past five years]. However, significant support for the foundation will continue.”
Meanwhile, Harry Maguire is in contention to wear the United armband again with club captain Bruno Fernandes suspended for Monday’s visit of Newcastle to Old Trafford.
Maguire was stripped of the United captaincy 18 months ago and succeeded by Fernandes after injuries and a loss of form led to the former Leicester defender falling out of favour with head coach Erik ten Hag.
But he has come back into the fold under Ten Hag’s replacement, Ruben Amorim, who recently described Maguire as an “example” in the dressing room having started United’s last three Premier League matches.
With Fernandes serving a one-match ban following his red card against Wolves on Boxing Day, Maguire is vying to lead United out once more as the club look to end a run of three successive defeats in all competitions.
Asked about the prospect of Maguire standing in for Fernandes, Amorim said: “You will have to wait until the game and see the captain.”
United have lost to Bournemouth and Wolves in the league and been knocked out of the Carabao Cup by Tottenham in the last fortnight since their late derby victory over Manchester City this month.
Amorim has won four and lost five of his 10 games in the United hot seat but Maguire believes an adjustment period was always likely because the Portuguese is so different in his approach to Ten Hag.
“It is not like they have come in and they have similar styles,” the England centre-back told Sky Sports. “They are the total opposite in terms of what they want and what they demand.
“The transition period is going to be tough. We all have great belief in the manager and all his coaching staff.
“It is frustrating. We want to win football matches and make our fans happy because so far this season it has not been good enough.
“I am sure things are going to turn around. He knows exactly what he needs to do to get this club back. He has come in and done everything he needs to do. He is really demanding.”