Burnley risk £60M hit if relegated | OneFootball

Burnley face a huge financial hit if they suffer relegation from the Premier League this season.

The Daily Mail says Burnley face a £60m blow if they are relegated as a result of a loan that financed the club's takeover last year.

Sportsmail has learned that under the terms of Burnley's loan from MSD UK Holdings, relegation would trigger an early repayment.

Currently, they are making payments on an interest-only basis of around nine per cent until 2026, when the £60m is due.

The prospect of early repayment raises the stakes in Burnley's bid to avoid the drop.

They would also lose around £50m in TV and prize money in their first season, with bigger losses to follow.

New owners ALK Capital secured the loan last January to help fund their £170m purchase, with the rest of the money coming from equity investment and the club's bank balance.

Burnley are in frequent touch with MSD and could renegotiate the terms, and the owners insist they are on a sound footing and will give Sean Dyche funds to bolster his squad this month.