Plans for council buy-out of Salford’s AJ Bell stadium move closer

Salford’s debt-laden A J Bell stadium is on course to become fully owned by the council as efforts continue to secure its future.

Salford City Council cabinet endorsed plans by City Mayor Paul Dennett to buy out co-owner Peel Holdings to ensure the stadium can continue as a sporting venue and home to rugby league club Salford Red Devils.

The council is bidding to become the sole owner of the stadium, which houses the Super League side and Gallagher Premiership outfit Sale Sharks. A contingency fund of £11 million has been put aside for the purchase.

Salford City Mayor Paul Dennett vowed: “Local authorities should be owning assets.”

Monday’s Cabinet agreed to endorse the continuation of discussions regarding the full acquisition of the City of Salford Community Stadium (CoSCoS) by the City Council.

A joint bid from Sale Sharks and Salford City FC to purchase the stadium collapsed in December.

Mayor Dennett emphasised the social value and social impact owning the AJ Bell outright would have, and claimed that acquiring the stadium would help regenerate the local area.

Outstanding debt on the stadium currently stands at £37 million and Mayor Dennett revealed that Peel L&P, which is 50/50 joint owner, is keen to pursue a sale.

The report outlined a need to “progress quickly” with the matter.

Plans to purchase the stadium have been met with some opposition.

The Green Party’s David Jones, who will be standing to become the Mayor of Salford in 2024, said: “Salford’s Labour Council has just announced the maximum allowable 5% increase in council tax for 2023/24, together with a whopping 7% increase in social housing rents from April 2023.

“We have thousands and thousands of social housing tenants in Salford paying hundreds of extra pounds in heating costs every month because the council failed to respond and resolve the ongoing heating and post-cladding insulation problems faced in tower blocks.

“These are the real and immediate issues that Salfordians are facing, and the Labour council needs to address these concerns rather than continue with its own vanity project.”