Mayor of London Sadiq Khan could pull the plug on E20 Stadium LLP
West Ham could be left in limbo as the company that owns the London Stadium may go bust next month.
Mayor of London Sadiq Khan may pull the plug on E20 Stadium LLP, who took a loan of £14million of public money last season just to stay afloat.
And the London Legacy Development Corporation is only committed to keeping the London Stadium afloat until September, report the Sun.
E20 lost over £22million in the year to March 31, 2018, with West Ham paying just £2million a year in rent to use the London Stadium. As well as the LLDC loan, the Greater London Authority also provided working capital to keep the company afloat.
The report states a restructuring plan was agreed in March, though implementing the plan requires, to quote, ‘significant changes to current contractual arrangements’.
Should the company go bust, West Ham will be left in limbo, although they are unlikely to be made homeless.
The Hammers are currently involved in legal action with E20, with the recent removal of the club’s honours board one such disagreement between the two parties.
It is added that the E20 board believe the LLDC to provide funding from public money until next March, though the Mayor of London is not expected to allow the situation to continue indefinitely.
An LLDC spokesperson said: “London Stadium funding remains secure with the loan continuing to be extended as progress made to placing it on a firm financial footing continues.
“We continue to work with partners to provide a fantastic venue that delivers for everyone.”