In a recent interview Simon Clegg, Chief Executive of Ipswich Town, dismissed claims that Ipswich Town could be considered insolvent insisting that the club was financially sound. This is despite the fact that the Club has a considerable amount of debt which continues to rise.

Mr. Clegg said 'While there is an historical legacy of debt, nothing is now owed by Ipswich Town to a bank or other financial institution. Previous loans from Norwich Union, Barclays and the Bank of Scotland are now settled.'

So according to Mr Clegg the club has no debt. Well no, not exactly.......

The club has considerable debts, it is just that they are owed to the Marcus Evans Group rather than external banks. In fact the debt to Norwich Union was not settled by Ipswich Town it was bought by the Marcus Evans Group for 20p in the pound, i.e. they paid £1 for every £5 of debt owing. The full amount of the debt continues to be owed by the club to the Marcus Evans Group.

Is this debt and the fact that it continues to rise viable?

Yes, probably at least while Marcus Evans continues to bankroll the club, but the debt has not gone away despite what Mr Clegg indicates.

What is that old cliché? 'Eventually the pigeons come home to roost'? or something like that anyway! Eventually debt has to be repaid or it is written off. Which will it be?

Will the club ever be in a position to repay the debt?

That’s the £50m question, probably the current size of the outstanding debt!