Manchester United are considering an early termination of their lease on office space in Kensington as part of a series of cost-cutting measures introduced by Sir Jim Ratcliffe. The club had moved into the Kensington Building less than two years ago after a decade-long rental agreement in Mayfair expired. However, with the decision to relocate most staff to Manchester, the 23,000-square-foot office space is now seen as excessively large and expensive.
A recent “transformation plan” outlined by the club includes reducing staff numbers by between 150 and 200 employees. While United intend to maintain a presence in London, they are actively searching for new premises. Downsizing at the current Kensington office is being considered, but moving out entirely appears to be the most likely outcome. The office’s proximity to Ineos headquarters in Knightsbridge is not expected to play a significant role in the decision-making process, as the primary focus is on financial efficiency.
Since acquiring a 28% stake in the club 15 months ago, Ratcliffe has preferred conducting United’s business from Ineos offices. Key decisions, including the dismissal of Erik ten Hag, were made at a Knightsbridge summit attended by the club’s leadership. Ten Hag was subsequently replaced by Ruben Amorim.
United were among the first northern clubs to establish a London office 15 years ago, a move that helped boost their commercial strength. Other clubs such as Manchester City, Liverpool, Everton, and Leeds later followed suit. Under previous leadership, many senior staff were based in London, including those responsible for transfer negotiations and corporate partnerships. The office was also used to host agents and sponsors. However, the club has gradually shifted its operations back to Manchester, particularly since Ratcliffe’s investment.
United’s lease agreement covers the entire top floor of the Kensington Building, amounting to 16,000 square feet, along with a 7,000-square-foot roof terrace. This deal was signed before Ratcliffe’s involvement, meaning negotiations will be necessary to break the contract early.
Ineos has pursued similar cost-cutting measures recently, aiming to reduce expenses amid rising debts. In addition to the changes at United, the company has cut ties with Sir Ben Ainslie’s America’s Cup team, ended its sponsorship deal with New Zealand Rugby, and entered talks with Tottenham to terminate the Ineos Grenadiers’ partnership early.
Last week’s announcement of the transformation plan also confirmed a reduction in London-based staff. Some employees from Old Trafford are set to relocate to Carrington due to space constraints at the stadium. Further adjustments to working arrangements have already been introduced, including a ban on remote work, leading to corporate hospitality boxes at Old Trafford being converted into temporary office spaces on non-match days.
