Lancashire losses leap to £2.1m

LANCASHIRE Country Cricket Club saw losses surge from £546,000 to more than £2m last year.

Results for 2010 showed the impact of the disruption caused by the £30m+ redevelopment project at Old Trafford and the fact that the ground was not selected to host a Test match that year.

Since the year end, Lancashire have celebrated a milestone year, winning the County Championship for the first time outright in 77 years, ending a bitter, costly and long-running legal battle with developer Derwent Holdings over the redevelopment project, and finally securing a return of Test cricket to the ground for 2013.

In a statement Lancashire said: “The disruption caused by development of the ground alongside the club not having been allocated a major Test match in the year, when combined with the impact of the global recession and the numerous challenges presented by the ongoing battle to secure the Club’s legally granted planning permission for the remaining redevelopment of Old Trafford, all adversely affected the Club’s financial performance.”

On a more positive not the first phase of the redevelopment, which included the new grandstand and hospitality venue The Point was completed on time and on budget.

Lee Morgan, the Lancashire’s finance and operations director, said: “The necessary redevelopment of Old Trafford was critical in securing the future of Old Trafford.

“The transitional period in building the new stadium was always going to create huge challenges, although the investment will result in the club being well placed for the long-term in ensuring International cricket remains at Old Trafford in a competitive and tough market.

“The majority of the club’s current debt (around £15m) has been raised to fund the building of The Point, which has already, and will continually prove to be, an important revenue generator for the business.

“It is important to note that the club will not take on any further debt to fund the rest of redevelopment of Old Trafford which is scheduled for completion in early 2013.

“Although challenging times do remain for all county cricket clubs, with the certainty provided by our international match staging agreement and also the redevelopment of the stadium into one of the best in world cricket, we have every reason to be optimistic for a successful future of Lancashire County Cricket Club.”