Man United to go 'another £1bn' in debt in bombshell verdict

Manchester United will have to go another £1billion into debt to be able to afford building their brand-new stadium.

That is according to former Manchester City financial adviser Stefan Borson, who exclusively told Football Insider that he would be surprised if the Red Devils managed to complete the project without that money.

Man United have recently taken positive step towards the huge stadium project, acquiring 25 acres of land close to the current Old Trafford, and big enough for a 100,000-seater ground.

This, of course, didn't come at a cheap price, setting United back £63.5million, but that will be the least of the owners' worries on this project.

It has already been predicted that New Trafford could cost upwards of £2bn, which would ultimately mean the club going into further debt.

The latest accounts showed that since the Glazers' takeover in 2005, Man United have now reached over £1.1bn in debt, and fans are certainly concerned.

Man United will need '£100m every month for 24 months'

Speaking exclusively to Football Insider, Borson believes that Man United are about to go even further into debt as New Trafford continues to be developed.

"You're probably looking at something like, for the sake of easy numbers, requiring, let's say, £100m of cash every month for 24 months," he said.

"Where's £100m coming from for 24 months? Each month? Just to pay the bill of building a stadium. They're already pretty much maxed out on their facilities.

"So now I think there are ways in which they could structure another £1billion of debt based on the future cash flows of the business.

"But I'd be surprised if they could do it without another, say, £1bn of equity, i.e. cash coming from the owners, or a new owner."

Could Man United soon have new owners?

The Glazers are often a source of contention at Old Trafford, with fans accusing them of draining the club of its resources.

Borson has already explained that the "worst-case" scenario would involve the debt-holders taking over at Old Trafford, though that would be unlikely.

Fans across the Premier League have questioned how the Red Devils are allowed to have so much debt, but there are no rules against it.

Man United are certainly restrained with what they can do in the transfer market, but that is simply an issue on the pitch, rather than off it.