YORK City posted losses of more than £1million in the year ended June 30, 2020.
The debt last year stood at £10.4m, compared to £9.3m from the year previously.
It is, however, a shallower drop than the year ended June 30, 2019, when City ran up a loss of £1.5m.
Over the past decade, York have lost more than £9m. Borrowing has increased by £7.5m to £11.6 since 2012, during which time the club has paid interest and dividends of nearly £4m.
During the year to June 2020, the club took on a loan from JM Packaging, the company owned by City chairman Jason McGill, of £650,000 at 11 per cent interest.
After the coronavirus pandemic hit in March 2020, the club lost gate revenue from five matches, with four games at Bootham Crescent cancelled and one played behind closed doors. City placed players and staff on furlough in April.
The average number of people (including directors) employed by the company was 45, down from 51 in the year ending June 2019.
In the ‘going concern’ section, a note reads: “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 (November 25, 2020).”
Football finance expert Kieran Maguire has called the losses of 2019 to 2020 “significant by National League North standards” but, accounting for the large interest figure, only place York in the “top half of the loss-making table”. He also believes the loss of home games should not have a dramatic impact on the club.
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