Economy Hits Stadium Plans

The economic downturn is taking its toll after Liverpool announced that their plans to build a new £350m stadium had been placed on hold until after the credit crunch stabilises.

Liverpool chief executive Rick Parry commented: ‘It is a case of a delay while things settle down. It’s still a good long-term project. With the financial markets in turmoil, any major construction project at this time is difficult, it is risky.’

With some commentators predicting that the economic downturn could continue for a year or two it is unclear when Liverpool will begin work on the stadium, which was expected to be finished by August 2011.

Added Parry: ‘I do not see any change in direction or any change in plans, and ground share is not back on the agenda.

‘The point is, at this moment it is not the most sensible time to be borrowing huge amounts of money with the markets in turmoil. That will settle down and availability of money will increase.

‘The project makes long-term sense, it is the supply of money that is an issue – that will correct itself in time.’

The new stadium plans have been the source of much turmoil for the club with reports over the summer suggesting that Liverpool’s US co-owners Tom Hicks and George Gillett had fallen out over the proposals.

Liverpool’s plans for their new home, which was expected to have a 60,000 capacity, were approved by the city council in May and the enabling work has already started in and around Stanley Park.