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Big cash losses at Liberty Stadium

Financial results announced by the City Council this week show the stadium has a cumulative deficit of about £533,000. The projected losses in the last financial year amounted to £118,000.

The stadium is run by Swansea Stadium Management Company (SSMC), and of course is the home of Swansea City and the Ospreys. SSMC, a partnership of the Swans, Ospreys and Swansea council, did not wish to comment.

The figures will be discussed by the council on Thursday coming. "Under the joint venture signed by the parties, responsibility for guaranteeing all losses rests with the clubs," it said. The report also said there had been "concerns" over the SSMC business plan.

"Whilst the current draft plan includes a targeted surplus of £60k, there are issues over the allocation of policing costs and addressing accumulated losses. SSMC must deal with these over the coming year," it said.

On the plus side both Ospreys and Swansea City Fc have thrived in their respective competitions. The Swans and the Ospreys moved to the £27m Liberty Stadium in 2005 after the council paid most of the money to build it. It has since hosted internationals which would never have happened at the old grounds.

The sports teams pay a peppercorn rent and contribute to the running costs of the stadium, with any profit made being returned to the teams and the local authority.

After Swansea City won promotion to the Premier League last season, opposition councillors in Swansea called for the club to pay more rent for their home ground.

But council leader Chris Holley said the stadium was generating hundreds of jobs and a new business plan was being worked out.

KT

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