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Manchester United’s budget for the summer may be impacted by a large unpaid tax bill in a nightmare scenario for the club, according to reports.
The Red Devils are plotting a squad rebuild at the end of the season after Sir Jim Ratcliffe took control of football operations at Old Trafford.
The British billionaire, who owns 25 per cent of United, has already made Everton star Jarrad Branthwaite a top transfer target for the summer window.
It emerged last week that Ratcliffe is on a major cost-cutting drive at United and may sacrifice members of staff to free up cash and prioritise squad investment.
But United could now be made to pay a significant amount to tax authorities with Her Majesty’s Revenue and Customs (HMRC) locked in talks with the club.
That’s according to inews.co.uk who report that United are awaiting the outcome of discussions about potential money owed to HMRC.
It is thought that a potential hefty bill – revolving around the amount of tax paid on arrangements with players and agents – may affect future transfer budgets.
That is bad news for United who are hoping to bring in four new signings at the end of the campaign.
Meanwhile, it remains to be seen what Ratcliffe will do about United manager Erik ten Hag with the INEOS CEO refusing to publicly endorse the Dutchman.
It is believed that Ratcliffe sees Zinedine Zidane as his ‘dream’ manager while incoming sporting director Dan Ashworth has held talks with Graham Potter.
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