Huddersfield: John Smith's Stadium owners at risk of administration

Huddersfield Town and Huddersfield Giants have shared the John Smith's Stadium since 1994.

Huddersfield Town is set to take over the running of the John Smith's Stadium as the ground's current managers face going into administration.

Kirklees Stadium Development Limited (KSDL) is in millions of pounds of debt, according to council papers.

The football club is set to take on full control of the ground, also home to the Huddersfield Giants rugby league team, to secure its long-term future.

The proposed handover could signed off by Kirklees Council next week.

The local authority owns 40% of KSDL, with a 40% share also held by Huddersfield Town and the remaining 20% by the Giants.

The company was set up to run the stadium in 1993 but has been struggling financially for years. The council said "severe cashflow difficulties" had been compounded by high energy costs.

The 24,121-capacity stadium is also in need of £8m to £10m of investment within a decade to address a backlog of maintenance issues and extend its life beyond 2050.

'Heart and soul of town'

It had previously been proposed that a community trust would take over the management of the ground and receive a £13m bailout from the council to cover debts and fund refurbishment.

But the council said it had been forced to rethink the plan because those debts were "potentially higher than previously envisaged".

It added Huddersfield Town's owner Dean Hoyle, who resumed control of the club in October 2021, had also objected to the community trust arrangement.

Under the new proposal, the Championship club will take "full operational control" of the ground as the long-term lease holder and would cover the cost of repairs and refurbishment.

The deal would require the council and some other debtors "agreeing to write off the historical liabilities," said a report to the council's cabinet.

Huddersfield Giants would have continued use of the ground, which has been home to both clubs since construction was finished in 1994.

The stadium has been described as "the heart and soul" of sport in Huddersfield.

Graham Turner, cabinet member for regeneration, said KSDL had been "an important part of the development of the stadium" but was no longer "the right way to operate".

He added: "I am sure that the proposals to negotiate with the football club to become a long-term lease holder will help secure the stadium and allow it to develop and flourish in the coming years."

In a joint statement, Huddersfield Town, Huddersfield Giants and the council said: "Our clubs mean so much to people across Huddersfield and well beyond. But if the stadium is going to serve the community for the future, it needs investment and a financial platform that's sustainable in the long term.

"All partners are committed to maintaining the stadium as the heart and soul of Huddersfield's sporting heritage."

The proposals will go before the council's cabinet on 21 December.