Peterborough City Council confirms it is in dispute with Posh football stadium owners in bid to recover £220,000
Posh owner says he’s committed to reaching agreement
Peterborough City Council has revealed it is in a dispute with the owners of the Peterborough United football stadium in a bid to recover £220,000 it claims it is owed.
The local authority says the outstanding amount is one of a number of yearly payments that formed part of the deal agreed in 2021 by London Road Peterborough Properties Ltd to purchase the stadium.
Councillor Mohammed Jamil, Cabinet Member for Finance and Corporate Governance, said: “In 2021 the council agreed to support the club to acquire the stadium and sold the land and buildings at London Road, including the Weston Homes Stadium and the Allia Business Centre, to London Road Peterborough Properties Ltd (LRPPL).
“As part of the sale agreement, LRPPL paid a lump sum of £4.1 million and agreed to pay £233,000 per annum up to and including March 2026, with a further payment due if economic and social benefit could not be proved.
He said: “The 2023/24 instalment has not yet been paid in full, and the council is taking steps to ensure all funds due are recovered.
“Whilst the council has been happy to support the club in the past, it's not right that taxpayers are picking up the bill and therefore legal action will be taken if necessary.”
The council says the payment of £233,000 was due in March this year but only some £32,000 has been paid meaning the amount now due is about £221,000
Posh owner Darragh MacAnthony said: “I don’t comment on ongoing contract disputes but remain committed to reaching an agreement with all parties re the stadium and the stadium company. It will all get sorted.
“This has nothing to do with the football club as it has a long term lease which is always up to date per its lease.”
News of the dispute comes as the cash-strapped council begins a six week Shape the City consultation with residents as it tries to bridge a feared £24.3 million funding gap for the 24/25 financial year.
London Road Peterborough Properties Ltd was placed into receivership in 2023 over a reported outstanding debt of £6.6 million.