Everton’s new £550m stadium could be DELAYED after over Premier League spending charge

Everton’s charge for breaching Premier League spending rules could delay the completion of their new stadium with potential funding partners reluctant to commit until the matter has been resolved. 

The club are halfway through building the 52,888-seat stadium at Bramley-Moore Dock having spent around £350million on construction to date, but require external funding to finish the £550m project that is crucial to their future.

Everton are in advanced negotiations with New-York based investment firm MSP Sports Capital about providing funding following a prolonged search for investment led by American banks MUFG and JP Morgan Chase, but they were unaware of the pending Premier League charge which has left them blind-sided.

Whilst all three financial institutions have conducted extensive due diligence and are comfortable with Everton’s accounts the possibility of a future points deduction is understood to have caused alarm.

The Premier League’s sanctions if Everton are found guilty include a points deduction, transfer ban and the imposition of strict spending restrictions. 

Whilst the disciplinary process will not be completed in time to affect Sean Dyche’s side battle against relegation this season the threat of future sanctions could delay a funding agreement.

Everton owner Farhad Moshiri could fund the remainder of the construction himself as infrastructure spending is exempt from Premier League rules, but he is reluctant to do so as he has already spent more than £700m since taking over the club seven years ago. 

The Iranian businessman has also explored selling Everton or a portion of his shareholding, but scaled back that ambition to securing stadium funding amidst concerns that a sale would invite government scrutiny of his links to Russian businessman Alisher Usmanov, who was sanctioned following the invasion of Ukraine last year.

The sanctions against Usmanov have cost Everton tens of millions of pounds and been another blow to the stadium project, as his company had agreed a future naming-rights deal in addition to sponsoring the training ground. 

In the financial year 2019-20 Usmanov’s company USM Holdings were responsible for £42m of Everton’s £64m sponsorship revenue.

Everton have yet to announce an opening date for the new stadium which is set to be completed at some point during the 2024-25 campaign, but they could opt to stay at Goodison Park for the remainder of that campaign. 

Whilst the club have agreed a fixed-price construct with builders Laing O’Rourke a delay in securing funding could see the completion and opening date pushed back.