Sir Jim Ratcliffe and INEOS considering selling Old Trafford’s naming rights to drive up revenue

Manchester United are reportedly contemplating selling Old Trafford’s naming rights with Sir Jim Ratcliffe keen on driving up the club’s revenue.

Since Ratcliffe completed his partial investment into United, the INEOS billionaire has repeatedly outlined his ambitious plans for Old Trafford.

There are two main options under consideration. The first is to refurbish the existing grounds. The other is to construct a brand new arena. It’s believed that the latter is Ratcliffe’s preference.

The petrochemicals mogul wants to build a “Wembley of the North” and to achieve this, he formed a task force to study the feasibility of the regeneration of Old Trafford and the surrounding area. Members of the task force include Lord Sebastian Coe, ex-United captain Gary Neville, Mayor of Greater Manchester Andy Burnham and Trafford Council CEO Sara Todd.

The Athletic’s Adam Crafton has now given a huge update on United’s plans for the Theatre of Dreams, with the club now eyeing selling the naming rights of a refurbished Old Trafford or a newly-built stadium to generate more money. The Red Devils are also considering raising ticket prices.

The newspaper states, “United have also held exploratory talks with major financial institutions, including Bank of America, as they explore a series of funding options to raise the capital required to cover a potentially multi-billion pound project. Manchester United declined to comment on all points raised in this report, but club sources — who spoke anonymously due to the sensitivity of the matters — insisted that while discussions have taken place, no decisions have yet been made. Bank of America did not respond to a request for comment.”

“United’s 114-year-old stadium has always been known as Old Trafford and the club has never before sold its stadium naming rights. While stadiums across Europe and the United States have long been associated with major brands, it has been a more contentious issue in England, where supporters cherish the history of a stadium’s name.”

“More recently built stadiums, such as Arsenal’s Emirates Stadium or Manchester City’s Etihad Stadium, have taken on lucrative naming rights contracts. In each case, the airlines have acquired the rights not only to the stadium’s name but also the front-of-shirt sponsorship.”

According to Crafton – in case of a refurbishment – one option for United is to keep the famous Old Trafford name while also having an associated partner.

He adds on this point, “The English national arena, for example, is called Wembley Stadium, connected by EE, for which the network provider pays a reported £10m-per year. A similar approach has seen teams retain traditional names for stadiums by attaching a sponsor — such as the Spotify Camp Nou in Barcelona or cricket grounds including the Emirates Old Trafford in Manchester and the Kia Oval in London.”

However, it’s understood that if United construct a whole new stadium, the club is open to selling the name altogether – a move they expect will net tens of millions of pounds.

Crafton notes that United have yet to clearly state how they would fund the building of a new stadium. With the Glazers very unlikely to reach into their own pockets, Ratcliffe may turn towards a combination of public funds, private partners and debt.

Another alternative to raise money is raising ticket prices. United are set to increase ticket prices by five per cent for the upcoming 2024/25 season. Crafton divulges that if a new stadium is to be constructed, United may increase the prices even further to fund the project while also making sure the team is competitive on the pitch.

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