Arsenal Receives Bank of England Covid Loan
Arsenal have confirmed they’ve received a loan from the Bank of England to assist with the impact of the pandemic on its finances.
The club has been counting the cost of the pandemic and implemented a number of measures in 2020 to mitigate the impact it was having on its finances.
However, the continuing pressures have forced the club take action, having already posted a loss of £27m in their annual finance figures released for the year ending May 31st 2019.
In a statement the club said: “As we continue to work through the implications of the global pandemic on our finances, we can confirm today that the club has met the criteria set by the Bank of England for the Covid Corporate Financing Facility (CCFF).
“As a result, we are taking a short-term £120 million loan through this facility to partially assist in managing the impact of the revenue losses attributable to the pandemic. This is a similar approach to that taken by a wide variety of major organisations across many industries including sport, and is repayable in May 2021.
“The CCFF is designed to provide short-term finance at commercial rates during the pandemic to companies that have strong investment ratings and which make significant contributions to the British economy.
“The CCFF is in addition to the loan provided by our owners Kroenke, Sports & Entertainment that enabled us to refinance the debt on Emirates Stadium in August last year.”