Arsenal FC have taken out a £120 million corporate loan from the Bank of England to aid the club during the COVID-19 pandemic.
Yesterday, the North London club confirmed they were using the Bank of England COVID-19 scheme, which has to be paid back by May, to help bring in revenue after new restrictions meant that Arsenal fans' return to the Emirates stadium was short-lived.
The club announced in August that it would be making 55 members of staff redundant across several departments after suffering from the financial impact that that the coronavirus pandemic had caused.
A statement on the club's website reads: "As we continue to work through the implications of the global pandemic on our finances, we can confirm that the club has met the criteria set by the Bank of England for the Covid Corporate Financing Facility (CCFF).
"As a result, we are taking a short-term £120 million loan through this facility to partially assist in managing the impact of the revenue losses attributable to the pandemic. This is a similar approach to that taken by a wide variety of major organisations across many industries including sport, and is repayable in May 2021.
"The CCFF is designed to provide short-term finance at commercial rates during the pandemic to companies that have strong investment ratings and which make significant contributions to the British economy.
"The CCFF is in addition to the loan provided by our owners Kroenke, Sports & Entertainment that enabled us to refinance the debt on Emirates Stadium in August last year."
Arsenal's neighbourhood rivals Tottenham Hotspur are the only other club benefitting from the scheme, who opted to borrow £175 million last summer.
Author: Jake Wilkin