The City Ground

Next Game

N Forest v Cardiff

Saturday, 02 May 2015, 12:15

Sky Bet Ch'ship

Portman Road

Last Game

Ipswich 2 - 1 N Forest

Saturday, 25 April 2015, 15:00

Sky Bet Ch'ship

Forest announce big losses

Nottingham Forest have announced losses of £17.1million for the last financial year, meaning the club could struggle to adhere to Financial Fair Play rules this season.

Last Updated: 05/03/14 at 14:04 Post Comment

City Ground: Nottingham Forest announce significant losses

City Ground: Nottingham Forest announce significant losses

More of the games that matter

Upgrade in minutes or watch with a NOW TV Day Pass.

The club breached FFP limits in 2012/13, when allowable losses were £10million.

Crucially, there were no punishments in place for breaching the rules last season - but there are this season with Sky Bet Championship clubs allowed to lose£8million.

Therefore, if Forest fail to reduce the deficit for the current campaign, they could be hit with fines and a transfer embargo next season.

When asked about the club's financial situation recently, Reds chairman Fawaz Al Hasawi said that the issue would be addressed in the form of sponsorship deals from several companies in his homeland of Kuwait.

The end-of-year accounts submitted on Wednesday morning showed that staff costs were up from £17.6million in 2011/12 to £21million, with wages accounting for £18.4million, dwarfing the club's turnover figure of £14.4million.

Kuwaiti owners, the Al Hasawi family, backed Forest considerably with £35.4million owed to them in the form of interest free loans, which would only be repayable when the club was in a position to do so, according to the accounts.

The average league attendance at the City Ground increased last season from 21,969 to 23,083, with the team performing better on the pitch following their fight against relegation during the 2011/12 campaign.

This also meant there was a raise in income from gate receipts, growing 6% to£7.1million. However, this was offset by a £700,000 reduction in the basic award from the Football League to £1.8million.

Despite the huge losses, according to the directors' report submitted along with the accounts to Companies House, the finances had stabilised following the takeover by the Al-Hasawi family, who bought the club in the summer of 2012 following the sudden death of previous owner and chairman Nigel Doughty the previous February.

Doughty funded Forest's losses personally through a loan account and, during more than a decade as owner, was thought to have put close to £100million into the club. At the time of the takeover, Doughty's estate was owed £85.3million.

As part of the acquisition, the Al-Hasawi family reduced the short-term debt by capitalising a "significant" element of those loans owed to Doughty's estate.

More of the games that matter

Upgrade in minutes or watch with a NOW TV Day Pass.

Related News

Most Commented

Readers' Comments

I

t's why Mourinho is so successful. He gives players a specific, limited set of functions to perform. They are but a cog in a machine. Do no more, do no less. I assume he learnt it from LvG :)

red_devil83
Fellaini Has Politely Become Undroppable

I

really hope that someone in the mainstream media spots that the Bayern manager played for and managed Barcelona quite well, and thinks to mention it in the build up. That would be really interesting.

megabrow (cufc)
Barcelona to face Bayern

Y

our gob says one thing, Brendan, the results say something else.

balls-to-monty
Rodgers bullish over Anfield future

Footer 365

Man City 3-2 Aston Villa: Fernandinho strikes late as City go second

Fernandinho struck in the 89th minute to hand Manchester City a dramatic 3-2 victory over Aston Villa in the Premier League.

Burnley 0-1 Leicester: Jamie Vardy goal sees Foxes climb out of bottom three

Leicester City climbed out of the bottom three as they defeated relegation rivals Burnley 1-0 at Turf Moor on Saturday.

Crystal Palace 0-2 Hull: Dame N'Doye goals lift Tigers

Two goals from Dame N'Doye saw Hull City win 2-0 at Crystal Palace to boost their Premier League survival hopes.

Mail Box

Chelsea Millions Should Buy Better...

For the money they have spent, Chelsea should be playing like the Harlem Globetrotters rather than Atletico. We have mails on Cesc, Brendan Rodgers and...

Brendan Rodgers Is David Cameron...

Rodgers is compared to the Prime Minister, insomuch as he has a right to peddle bulls**t, apparently. Plus why comparing Arsene Wenger to Diego Simeone is a mug's game...

© 2015 Sky Ltd. All Rights Reserved A Sky Sports Digital Media company