MANCHESTER, England, (Reuters) – Lancashire chief executive Jim Cumbes has warned an English county club could go bankrupt after he announced a post-tax loss of 546,000 pounds ($804,900) for 2009.
The annual report of the Old Trafford-based club, which is hosting England’s second test against Bangladesh starting today, noted it was almost 8 million pounds in debt. The club is also undergoing a 32 million pound ground renovation.
Asked if a county club could soon become bankrupt, Cumbes told reporters yesterday: “Without a doubt, and it won’t be a small one, it will be a big one. It’s always possible. Yorkshire have a lot of debt at Headingley, Durham are in a lot of debt, we are in debt.”
Lancashire did not host a test or 50-over international in 2009 which contributed to its significant loss for the financial year.
Most of the 18 first-class counties are heavily subsidised by the England and Wales Cricket Board’s (ECB) annual payment of around 1.4 million pounds. Without that most clubs would not survive, although 2009 is Lancashire’s second loss only in 22 years.
The bold, brash new rectangular stand with red casing and glass frontage sits next to the traditional, aesthetically pleasing pavilion built in 1895. The two structures symbolise Lancashire’s struggle to modernise yet manage their huge debt.
