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Gloucestershire’s capacity to be a first-class county is under question once again after the club disclosed a £1.19 million deficit in their annual accounts, which were released on Monday. This amount is more than twice the £570,000 deficit they incurred in 2022–2023 season.
The treasurer of Gloucestershire, Rebecca Watkin, stated in her report that the club’s prospects for 2024 and 2025 were more optimistic. However, she attributed the current state of affairs to the cost-of-living crisis, which has increased the club’s daily operating expenses. Additionally, she pointed to the September washed-out ODI between England and Ireland, which would have been a crucial revenue stream for the club considering its non-Test and Hundred hosting status.
“This has been a challenging year financially for a number of reasons and there is no doubt it is disappointing to be reporting a second consecutive financial deficit,” Watkin wrote. “Gloucestershire has experienced a tumultuous couple of years both on and off the field but despite that, we remain committed to pushing for success on the field with inspiring, competitive cricket, and will ensure all that can be done is done to return improved financial results in the years to come.”
The club’s historic Nevil Road ground, which has been home since WG Grace helped with its purchase in 1889 and may now be worth between £25 and £40 million, was put up for sale by Gloucestershire’s board in December. The club would then relocate to a new out-of-town location close to the M4 and M5 interchange.
After an independent audit by chartered accountants Saffery LLP revealed net liabilities of £5,019,000, putting Gloucestershire in violation of its banking covenants and raising “serious doubts about the Club’s ability to continue as a going concern,” that possibility may now be one step closer.
The reports mentioned several contributing causes, such as an additional £43,000 in interest-rate payments and a £67,000 increase in energy expenses over the course of four months. Watkin noted in her report that the club’s ECB funding of £4 million a year is actually worth about £750,000 less than it was four years ago, and that other ventures, such as a Ministry of Sound dance party held at the ground in July, “did not deliver the financial returns predicted.”