Preston North End has confirmed it has received a winding up petition from HM Revenue and Customs, for failing to pay April’s PAYE and National Insurance tax liabilities.
As a result of failing to pay the twenty day overdue tax bill, shares in the club on the Alternative Investment Market (AIM) stock exchange have been suspended as of this morning.
North End’s Finance Director Kevin Abbott said: "As a public company, we are required to make this announcement with the consequence that our shares will be suspended from trading.
"The board of the club face a challenging economic climate and are disappointed that HMRC have taken this action in respect of a debt which is around 20 days overdue. We will be looking at our options to solve the issue next week.”
The shock announcement comes on the back of the club confirming it had received a £550,000 loan for players wages, from their largest single shareholder Trevor Hemmings’ Guild Ventures investment vehicle. This added to other loans provided by Hemmings, including £470,000 in March for PAYE and National Insurance, takes the total owed to Guild to a staggering £13.82m.
Club chairman Derek Shaw said it was talking with Guild Ventures about “further funding” expected to be needed before the next season begins.
He said: “We are currently considering ways with Guild Ventures to secure this funding.”