Portsmouth FC have received a financial lifeline that should enable them to survive until the end of the season after the Football League agreed to make four monthly Basic Award payments of £200,000 to them between now and the end of the campaign.
Portsmouth owe more than £40m with the liquidator claiming £16m from when they entered administration two years ago. Convers Sports Initiatives, the club’s parent company, is owed £11.2m, Revenue & Customs about £2m and football creditors about £5m.
Portsmouth FC have received a financial lifeline that should enable them to survive until the end of the season after the Football League agreed to make four monthly Basic Award payments of £200,000 to them between now and the end of the campaign.
Portsmouth owe more than £40m with the liquidator claiming £16m from when they entered administration two years ago. Convers Sports Initiatives, the club’s parent company, is owed £11.2m, Revenue & Customs about £2m and football creditors about £5m.
Talks are under way with a potential foreign investor, although the club has had their fingers burnt more than once there in the past. Any new owner would be taking on a loss making concern, although savings could be made if the squad was restructured. For example, Tal Ben-Haim earns £36,000 a week until 2013.
Any phoenix club would normally start at Step 5 in the non-league pyramid, but it is recognised that this would be impractical given the size of Portsmouth’s crowds. It is likely that the club would be allowed to re-form in the Conference South where its local rivals would be Eastleigh and Havant & Waterlooville.