Town managing director Ian Milne believes that it’s going to get tougher for established Championship clubs to compete for promotion in seasons to come with relegated former Premier League sides set to receive parachute payments totalling around £86 million over three years from this summer, in addition to £90 million even for the side finishing bottom.

Milne says the increased wealth of the relegated clubs - as well as the cash spent by a number of other sides already in the Championship this season - will form part of the discussions between owner Marcus Evans and manager Mick McCarthy in the summer, if the Blues don’t promotion to the Premier League in May.

“I do agree with your assessment that it’s going to get tougher to get up and I think we’re going to have to take a view of what we do with the current squad going forward,” Milne told Saturday’s Life’s a Pitch on BBC Radio Suffolk.

“It’s a bit early to say that but nonetheless you have to review it in the summer. You have to look at the financial sustainability of the club, what funds are available, who’s gone, who’s coming in, what sales may or may not happen.

“It’s at that time then that that discussion goes on between Marcus and Mick on salaries, new players and what have you. But I can’t deny that it’s going to get tougher.

“We’re seeing a bit of that this year with Hull and the rest of them. It is going to get harder.”

Town announced their season ticket prices for 2016/17 last week with a lower tier adult seat now costing £417 - an increase of £6 - while last week’s opponents Huddersfield announced a cut to £179 for their first 10,000 adult season tickets with the Terriers offsetting the reduction against the additional £2 million in broadcasting revenue Championship clubs will each receive from the Premier League next season.

Milne says the Blues will use that cash, a relative drop in the ocean compared to the parachute payments, to strengthen the squad: “Huddersfield have got a lower attendance than we have, they want to build that attendance up. We have a very good attendance.

“Can I put it this way, do people want us to support the ticket price or support the first team squad? We want to put as much money into the first team squad.”

The level of owner Marcus Evans’s investment has been a subject of criticism from supporters this season, but Milne points out that it doesn’t just stop at funding the first team with Evans having covered what's usually been an annual shortfall of around £6 million.

“There’s also the investment in the academy,” he continued. “There’s been another £750,000 because of the 3G pitches, there’s all of that investment as well.

“We have to put in half a 3G pitch under the dome and a full 3G pitch outside [at Playford Road]. We have to do this as part of our EPPP requirement, whether that’s Category One or Category Two.

“We want to get to Category One status, but whether we stay in Category Two or go up to Category One, we still have to have this 3G pitch and that’s around an extra £750,000. That’s got to be found in addition to what we spend within the club.”

Milne added: “He is [putting his hand in his pocket]. I think we’ve been reasonable with the season ticket increase of 1.5 per cent but nonetheless he still has to put a big chunk of money in to support the club and its financial sustainability.

“We’ve all got budgets, we’ve all got money to put into it and club owners have a budget in their mind of what they’re prepared to put into it. It’s their money at the end of the day and there’s got to be respect for that.”

Despite not yet being Category One, having failed an audit by 0.3 per cent in July 2014, the academy is having a successful season with Andre Dozzell, Ben Morris and Nick Hayes all having won England U17 caps, while six players were recently offered professional contracts.

“Lee O’Neill, our assistant academy manager, did a study of how many of our players have got pro contracts and have gone into the first team squad compared to other Cat Two and Cat One clubs around us at our level,” the MD said.

“And we with our Cat Two status are way above a lot of the Cat One clubs. I think one’s got to work out the worth of it - do we need Cat One? That’s my personal question.”

He added: “We’re still investing into Cat One, but it’s very, very costly. Marcus is putting £2.5 million into the academy plus this 3G pitch as well, that’s in addition to the first-team squad. It’s a lot of money.”

Photo: ITFC

Photo: Action Images

MaySixth added 16:21 - Mar 8 Marcus Evans needs to step up to the plate then. Football has changed since he took us over. He is almost a poor multimillionaire.
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MaySixth added 16:23 - Mar 8 "We have a very good attendance" ?????????? It could be far much better with some marketing promotions/offers.
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MaySixth added 16:23 - Mar 8 "We want to put as much money into the first team squad" By we, he means us fans as Evans isn't upping his investment.
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braveblue added 16:25 - Mar 8 Hard to take anything he says seriously after last year's 'investment' and the HMRC nonsense.
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MaySixth added 16:27 - Mar 8 He is a puppet for Marcus Evans and Marcus Evans doesn't care anymore. He is slowly bleeding the club dry before he leaves/sells us.
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TimmyH added 16:30 - Mar 8 Why all of a sudden has he piped up?...not sure I believe too much he says and what he has said on this is fairly obvious anyway and the season after next will be even more difficult due to the ridiculous TV money in the Premiership on offer.
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Michael11 added 16:31 - Mar 8 “Can I put it this way, do people want us to support the ticket price or support the first team squad? We want to put as much money into the first team squad.” Yeah, you can put it that way when we actually see some investment in the first team mate....Been a pittance spent on it in 4 years. Stop hiding behind the youth set up.
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battyblue added 16:41 - Mar 8 All rubbish heared it all before last season and the one before........you may find the attendances drop considerly if we stay in this division which looks like we most likely will.
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Smithy added 16:48 - Mar 8 How does the parachute payment get passed?? For me it is simply shocking that a club in effect gets rewarded for being relegated. If the club cannot get their finances in order or have a plan set for relegation (transition) then why should they be helped out? Understand if Burnley and/or Hull go up at least their share gets distributed around the Championship. Does the Premier League simply not want any new members to join them, hence why they try to keep those recently joined keen. Leicester winning the league is probably their worst nightmare as it will clearly not bring in the money they would hope for. Football is no longer a sport but simply a business to feed the greedy.

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JustSpivvyChops added 16:59 - Mar 8 Wondered what the new line would be now that the club can't hide behind the FFP excuse and ladies and gentleman......may I present to you............"the academy is expensive"......
4

hampstead_blue added 17:03 - Mar 8 Credit to Ian Milne. I've met him a few times and he comes across as an honest and fair chap. He is right about investment. Just look at Bolton. On the surface all was well, but underneath that was poor financial management and now look at them. Others have been before and more will follow. Given the choice between risking it all and having a stable club which 'may' get promoted, I will take stability every time. Cash will not get you promoted. A great manager will and we are lucky that we have one of the best.

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ArnieM added 17:08 - Mar 8 People seem to be missing a key comment by Milne regarding the Academy and the cost of attaining this allusive Cat One. He states that Town have outdone many cat two AND cat One academies, and tge extortionate costs involved in attaining a cat one...."is it really worth it", ( given we are producing our youngsters better than the cat ones) already, and by inference, perhaps he £2m + being ploughed into this cat one project might be better spent by Mick on senior or young players who can offer something to the senior team, NOW ie next season? .

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raycrawfordswig added 17:17 - Mar 8 Why did we waste money on a 3G pitch when they will be banned in a few years?
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topguy added 17:21 - Mar 8 I agree if we are getting good youth without cat1 why invest 2.5 million a year and invest the 2.5 million a year in the first team, that would get us 2 or 3 players a year and would benefit the 1st team and give the fans a boost and may indirectly improve attendance.
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PSGBlue added 17:21 - Mar 8 If this is a sales pitch to attract season ticket sales, then it has fallen flat. Milne should be talking up our chances for next season, this article seems to be an excuse of why we will fail yet again next season before we have finished this one. Its simple, either ME invests in the club or not. If not, its more of the same. Cheap signings and loans plus further hoof ball and finishing 9th. Evans needs to up his game or sell to someone who is prepared to invest in our club.

4

MrDiddle added 17:24 - Mar 8 Rather than sit here and moan about what Marcus Evans isn't doing for the club (He's putting 6m a year into the club which is doing quite a lot by my book) maybe people should instead whinge about the obscene premier league TV money and how it is not being distributed fairly amongst clubs below the premiership. The Football League is literally the lifeblood of the premier league but it's getting to that stage now where the money is widening the gap massively, and will most likely kill off all but the most financially astute football clubs. It's already happening with Bolton, and it will with others too (Aston Villa, Derby and Boro spring to mind). Fans should exercise a little more patience with the owner, the manager and the club in general. They are all working bloody hard to make sure that you still have a team to come and watch when the inevitable happens. Up the town!

8

Cakeman added 17:25 - Mar 8 Michael11, absolutely spot on. Well said.
2

jas0999 added 17:39 - Mar 8 Spin spin and more spin. I've said it before, but I am only interested in the product on offer I.e. The football and playing staff. I'm not expecting Evans to splash several million on a player, but equally I don't think it was unreasonable to expect better than a shortfall of two players in the January window. It will get tougher and unless we go up this season, the only way to compete is with more financial backing on the playing squad, which will have to include paying a fee. Reading Milnes comments, it would seem we might be up for cashing in on a player in the summer. I see no point unless better players than Coke, Toure and Digby are signed. Evans investment in the playing squad this season has been extremely disappointing in my opinion and not justifying the price rises which for me are too expensive anyway when comparing player quality and entertainment.

0

happybeingblue added 17:47 - Mar 8 what happened to the mings £ then ?
2

Currie10 added 17:47 - Mar 8 Do one. You're a Chelsea fan anyway.
2

Kikapu added 18:09 - Mar 8 I despair about some of our supporters comments on here. Only a few here show any form of reality about the position of clubs in the Championship. No you'd be happy with some chicken farmer pouring in millions but insisting on picking the team.
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MickMillsTash added 18:22 - Mar 8 Not sure I totally see it the same way - any club coming down are going to have a £60 Mill drop in Turnover. This will cause havoc, squads will have to shred and continuity in staff of the relegated teams will be lost. Am I being too optimistic? I think the Mings money has gone- Murphy, Douglas and pitmans new deals would have all cost in wages and signing on fees, Coke, Traore, Knudsen swallowed more and given how good he is suspect that Fraser is £1 Million.

0

Mark added 18:43 - Mar 8 Given the absolutely crazy money in the Premier League next season, it is a shame we couldn't have given the squad a boost this season, particularly January, to have a real attempt at promotion. Just going up and coming straight back down would earn us huge money over five years, making us a big hitter rather than a struggler. If we could have pushed on from last season with an extra key signing or two, just maybe it could all be different. I am not talking huge money signings, but some sensible investment in decent younger players Mick felt were value for money and whose value would go up rather than down. I am in favour of investing in the academy, of course, although I am disappointed at the lack of results recently. With Bishop injured we are looking at Hyam and Smith in the first team, and they have both been about for years.

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Seasider added 18:59 - Mar 8 Raycrawfordswig-as Cat2 Mr Evans had to spend this money on pitch,which is a requirement,not an option,think you will find? Agree as usual with you JAS Think Mr Milne is softening us up for continuing both in Championship and Cat2 Academy,as well as softening the blow if his master decides to sell one of our best players this summer,as he has the last two years. As for the Academy producing players,of course it does;but none seem to get into 1st team,even on an irregular basis.Only 1 during Micks tenure,and not certain he will appear much due to constant injury. Still not sure of Marcus Evans reason for owning this club.Initially thought it was to get in Premiership,and make a killing;but over last two years his actions have made me have doubts ,and I am not alone.

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TimmyH added 19:44 - Mar 8 Personally don't believe ME is putting £6M into the club over the last season or so (operating costs) - well certainly not amounting to that anyway...where has the money gone from Cresswell and Mings then if he's putting that much in of his own money?
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