Club crises

Wrexham Supporters Prepare to Man the Barricades Again

Wrexham supporters are no strangers to fighting for their club’s survival. A new plan from the owners of The Racecourse Ground means another battle is about to begin.

With the new year barely begun, supporters of Wrexham are facing a familiar and unwelcome feeling. While most of the football world watches the Premier League, the Blue Square Premier club finds itself in another crisis, one that could threaten its very existence. The club’s owners, through a company called Wrexham Village, have outlined a new arrangement for The Racecourse Ground that has sounded alarm bells across North Wales.

It was only in October 2005 that the High Court in Birmingham ruled that the previous owner, Alex Hamilton, had improperly acquired the freehold of the ground through his company, CrucialMove. Hamilton and his associate Mark Guterman had taken over in 2004, immediately raising the rent from £1 to £30,000 a year before serving the club with an eviction notice. Supporters mobilised, the club was forced into administration with debts of £2.6m, and a court battle ensued. Judge Alistair Norris ultimately concluded that Hamilton’s “fiduciary position in the club has been misused for the benefit of those interested in the exploitation of its property assets”. Guterman has since been barred from acting as a company director for seven years.

The Best Laid Plans

The subsequent takeover by Neville Dickens and Geoff Moss was meant to usher in an era of stability. Instead, a complex series of transactions saw ownership of the club and the ground transferred to Wrexham Village Ltd, a company controlled by Moss. A plan to develop the land around the ground for student accommodation was announced, with the club publishing a Q&A in February 2009 to reassure fans. It promised that 100% of development profits would benefit the football club, paying off debts and funding a new Kop stand. The club’s then-chief executive, Paul Retout, insisted, “We must get away from the idea that we are trying to screw the football club.” Retout has been on an extended sabbatical since last year.

The promised profits never materialised for the football club. Wrexham Village confirmed that the club should not expect any money from the development. The company also purchased the Crusaders rugby league club in December 2009, moving them into The Racecourse Ground. By November 2010, the Crusaders were in administration, citing inherited debts.

A Familiar Tune

Now, a new plan has been revealed. In a local newspaper interview, Ian Roberts confirmed he intends to set up a new company to lease The Racecourse Ground to both Wrexham and the Crusaders. Both clubs, he stated, will share the running costs, which he puts at £300,000 per year.

My aim is to one day have a Racecourse company that leases the ground to both the rugby and football clubs. I know people will complain about that but, at the end of the day, I am the owner and things have to be set up properly.

For a club that reported losses of almost £1m in the year to June 2008, this is a potentially devastating blow. If the costs were split evenly, Wrexham would face a bill of £3,000 per week to play at a stadium they have called home since 1872. Some supporters fear it is a ploy to force the club out of business, leaving Wrexham Village free to sell the ground. Roberts may claim this is repayment for loans, but for fans it looks like history repeating itself: the club stripped of its main asset and then charged a punitive rent to use it. The address given for Mark Guterman during his disqualification proceedings was in Monaco.

Time to Act

Wrexham Supporters Trust is now under pressure to act. A petition has gathered almost 1,500 signatures and the local MP has written to the club demanding an explanation. Questions must be asked of Wrexham Borough Council about the original planning permission for the student village. Were any of the assurances given by the club, particularly regarding the new stand, legally binding?

There is also the matter of football regulations. Any club seeking promotion to the Football League must have a minimum ten-year lease on its ground. This new arrangement throws Wrexham’s eligibility into serious doubt. Supporters who have seen off Hamilton and Guterman are now steeling themselves for another fight, one that may prove even more difficult than the last. They have proven themselves adept at protest before, and it seems certain that the owners of Wrexham Village are about to find their tenure becoming considerably more uncomfortable.

In the Club Crisis Index: Wrexham