Kirklees Council agrees to hand over shares in John Smith's Stadium to Huddersfield Town
The local authority currently owns a 40% stake in the stadium
Last updated 16th Oct 2024
Huddersfield’s John Smith’s Stadium is moving into a new era – with Kirklees Council finally ready to hand over its shares to Huddersfield Town.
Since it opened in 1993, the stadium has been managed by Kirklees Stadium Development Limited (KSDL), with shares held in the company by the council (40%) and the town’s two professional sports clubs – Huddersfield Town Association Football Club (40%) and Huddersfield Giants Rugby League Football Club (20%).
The three parties have been responsible for the operation and management of the stadium but in recent years the council has made it clear that it no longer wants to be involved in the business side of things.
The local authority had previously offered to transfer its share to both of the clubs, but under the latest agreement set out in a new council report, the 40% will be going solely to Huddersfield Town. However, the council will have ultimate control over the use of the site, as it will be keeping the freehold.
It is understood that the Huddersfield Giants are free to use the stadium as much as they wish, though the club’s owner, Ken Davy, recently outlined plans to leave the John Smith’s Stadium and construct their own purpose-built stadium.
The council report explains that an element of debt write off is required to facilitate the new arrangement, with the local authority’s most recent budget referencing a £3.8m loan to KSDL that could potentially be written off.
The decision will also see the council take possession and freehold ownership of a plot of land at Gasworks Street which was purchased by KSDL to form part of the stalled £100m HDOne Scheme. This will feature in the local authority’s regeneration plans for the town.
Deputy Leader of Kirklees Council, Councillor Moses Crook, said: “The Council has been working with its partners over the past couple of years to secure the future of the stadium as a top-class venue for sport, entertainment, and wider community benefit.
“The stadium needs a long-term plan for its investment and management. We’ve agreed with partners that the best model for that is to transfer the council’s interest to the football club who can take the venue forward and give it the investment it needs.
“Over the years, the council has provided investment into the stadium in the form of loans which will now be written off as part of the agreement. But this decision also means that the Gasworks Street site will be transferred to the council, bringing with it major regeneration potential for the Huddersfield economy.
“With our ambitious plans for the station to stadium corridor in Huddersfield, which is already benefiting from investment by the university and its designation as an Investment Zone, this is another bonus for the local economy.”
Cllr Crook added: “We’ve been working closely and constructively with our partners at both sports clubs on this issue and we plan to complete this process as soon as the necessary legal procedures have been completed.”
The John Smith’s Stadium saga has been long-running. Back in Winter 2022, the Local Democracy Reporting Service (LDRS) reported that KSDL was at risk of going into administration, with debts running into millions of pounds.
At the time, it was revealed that the stadium was in need of between £8m and £10m worth of refurbishments over the next decade to address a “backlog” of maintenance issues and extend the stadium’s life until 2050. The bulk of this work needed to be done over five years.