Sir Jim Ratcliffe insists Manchester United would “run out of money by Christmas” without his controversial cost-cutting strategies and revealed his “couple of errors” in his year at the helm.
Ratcliffe took control of football operations at United in February 2024 and his arrival has if anything seen a downturn in results, first under Erik ten Hag and now under Ruben Amorim, who has failed to lift his side from 14th in the Premier League table having taken charge in November.
The British billionaire has been heavily criticised for his cost-cutting strategies off the pitch, which have resulted in around 400 members of club staff losing their jobs amid rising ticket prices that have led to fan protests.
In an interview with BBC Sport, Ratcliffe admitted he knew he would face challenges at the club “but the scale of it is probably slightly bigger” than he expected.
“I don’t enjoy reading the newspaper very much these days I have to say,” he added. “I know it’s unpopular, and this period of change is uncomfortable for people, and some of the decisions we have to make are unpleasant. But they are necessary to put Manchester United back on to a stable footing. If people want to see Manchester United winning trophies again then we have do all this stuff.
“I recognise I’m unpopular at the moment – but I am prepared to be, and I can deal with being unpopular for a period of time because I believe that what we’re doing is the right thing.
“Manchester United has come off the rails – we need to get it back on the rails, and I believe what we are doing will put it back on the rails and we’ll finish up being where Liverpool or Real Madrid are today in the future.
“When the going gets tough people need to show a bit of resilience, a bit of grit – don’t wilt – and come out the other side fighting and that’s what we will do.”
And he revealed just how stark the financial situation at the club had been: “Manchester United would have run out of cash by the end of this year – by the end of 2025 – after having me put $300m (£232.72m) in and if we buy no new players in the summer.
“We are in the process of change and it’s an uncomfortable period and disruptive and I do feel sympathy with the fans.
“The simple answer is the club runs out of money at Christmas if we don’t do those things.”
It was suggested to Ratcliffe that the club’s level of debt and serving that debt – in the last financial year £37m was paid in interest – was a more pressing issue for fans.
“Interest is one of the costs but it isn’t the biggest cost in this club,” he said.
“And the club needs to get its house back into order so it’s on a good financial footing for the future.
“Most clubs in the UK – most companies – have debt of some form. But if the club is really profitable, which I think it will be in years to come, then you can do the reverse. You can start paying down the debt. That’s where I think Manchester United should be.
“Ultimately, if you look at running the club the size of Manchester United with an income of about £650m you spend a part of that £650m on operating the club and part of it on the squad.
“Where do you want to spend the money? Do you want to spend it on operating the club, or do you want to spend it on the squad? Because if you spend it on the squad you get better results. And at the end of the day what’s Manchester United here for if it’s not to win trophies and silverware? What we want to do is invest in the best players in the world if we can, rather than spend it on, I’m afraid, free lunches.
“My only interest here is returning Manchester United back to greatness again.”
Ratcliffe, at least on face value, appears to have made a number of mistakes at United, but admitted to just two, including hiring sporting director Dan Ashworth, who left the role after just five months, with the co-owner claiming the “chemistry” wasn’t right.
“We are not perfect, and we are on a journey, and there have been a couple of errors along the way, but I think in the main all the things we are doing are the right things for the club,” Ratcliffe said.
“I agree the Erik ten Tag and Dan Ashworth decisions were errors. I think there were some mitigating circumstances, but ultimately they were errors. I accept that and I apologise for that.
“If you look at the time we made the decision about Erik the management team hadn’t been in place more than five minutes,” he explained, adding that it was difficult to judge the Dutchman’s performance under the previous regime.
“It became clearer three months later and we got it wrong, but we’d moved on. I think we corrected it and we are in a very different place today,” he added.
A report this week claimed the Ratcliffe and his United bosses had already admitted defeat in their Project 150 goal, targeting the Premier League title in 2028, the club’s 150th anniversary.
“I don’t think it’s mission impossible. I think it’s good to have goals and objectives, Ratcliffe said.
“If you look at Arsenal, if you look at Liverpool, if you look at the period of time it took them to get the house in order and get back to winning ways, that’s probably slightly on the short end of the spectrum. But it’s not impossible.”
An announcement is expected on Tuesday that could see “the most iconic football stadium in the world” being built to replace the existing stadium, as part of a wider regeneration scheme.
“The club’s going to finish up in a very very different place in three years’ time to where its been in the past, in my view,” Ratcliffe added.
“I think it will become the most profitable club in the world. I think we may well finish up with the most iconic football stadium in the world, and I think we will finish up winning silverware again.”