YORK City incurred operating losses in the region of £900,000 during the 2017/18 season.

The figures account for the club’s first campaign of National League North football when Martin Gray succeeded Gary Mills as manager two months into the season and a total of 36 players were used by both bosses.

City went on to finish 11th in the table, while champions Salford City recorded a £1.67million loss but neighbours and promoted play-off winners Harrogate Town enjoyed a £455,000 profit during the same period.

Included in City’s financial statements account, published for the year ending June 30, 2018, meanwhile, was an unforeseen £145,434 payment that was required towards The Football League Limited Pension and Life Assurance Scheme.

That money is payable as an additional deficit funding contribution from the club following a triennial valuation of the scheme and, although it has to be included in the accounts’ losses column, The Press understands it can be paid in instalments over an agreed period of time.

But City did receive their last of two seasons’ worth of parachute payments following relegation from the Football League.

Chairman Jason McGill’s JM Packaging company continue to cover the losses with the amount he was owed by the club, in relation to money his Malton-based business have provided on a loan basis, standing at £6.6million as of June 2018.

But, with McGill having pledged to waive the loan interest agreed as part of JM Packaging’s takeover of the club from the Supporters’ Trust in 2006, that figure is believed to drop to approximately £5.4 million.

The money will not be payable until the sale of City’s Bootham Crescent ground to Persimmon Homes has been completed.

City’s board elected not to include a copy of the profit-and-loss account within their financial statements for public viewing.

The auditor was Henton & CO LLP, for whom City managing director Steve Kilmartin is a consultant.

Under the “Going concern” section of the financial statements, it was added: “At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources available to continue in operational existence for the foreseeable future although this ability is entirely dependent upon financial support being maintained by the Parent Company, JM Packaging Limited, who have provided an assurance funding would be made available for 12 months from the date on which these financial statements are signed (March 26, 2019).”

It is believed that the board will be meeting manager Steve Watson to discuss next season’s playing budget in the near future.