In The Red: Manchester United Debt Revealed at £716.5 Million

The news released last week that Manchester United's debt had increased to £716.5 million came as a depressing reminder of what uncertain times lie ahead for the club. As the new decade is marked by reports that the Glazers intend to convert the debt into bonds, five years after their takeover, now is the time to consider exactly where United is under the Glazers.

On the field, things have gone unquestionably well. Three league titles, one European Cup, two league cups, and a World Club Championship are incredible returns by any clubs standards. Furthermore, the accounts released show that United's turnover exceeds any recorded in English football, which all points to what should be a period of unprecedented prosperity, yet the debt continues to grow. 

Despite their five years of stewardship being marked with incredible success on the pitch, burgeoning profits, and the sale of their star player for a world record fee, the Glazers still haven't paid off a single penny of the debt accrued when buying the club, in fact it has grown by £50 million.

The accounts appear to suggest that even this level of success is insufficient to render the Glazers' business plan workable. With servicing the debt appearing to be reliant on achieving massive revenue streams and success on the pitch, the long term transition of Manchester United into a "selling club" is something which many supporters will find difficult to take.

It isn't that fans believe that success is the sole reason for supporting Manchester United, but when ticket prices have been raised by almost 50 percent since the takeover in 2005 and an increasing number of supporters are being priced out of attending games, the idea that United may also have to sell their best players and indeed, their training ground, just to pay off loans nobody wanted and the club never needed, has left many supporters believing that action must be taken.

The unfurling (and subsequent removal) of an anti-Glazer banner during a rare 3pm kickoff against Burnley was greeted by anti-Glazer chants at a volume louder than any heard at Old Trafford in recent months. The emergence of the new "Green and Gold" anti-Glazer movement (pictured above) shows the desperation of the fans to rid the club of the cancer of unwanted debt.

It is clear however that nasty chants and wearing the colours of Newton Heath will not get rid of Manchester United's debt. The Glazer family knows they are despised by many supporters but as long as there are people willing to pay the price for a ticket at Old Trafford and buy the latest merchandise from the megastore, it remains doubtful whether they will lose much sleep.

The future indeed looks bleak, with interest on the payment in kind (PIK) loans set to rise from 14.25 percent to 16.25 percent in August, the debt shows no signs of easing. While five years of completely coincidental success may have softened the reality of a life of unsustainable debt, judgement day still looms large over the horizon.