Telegraph: Wolves benefit from tax payer fund

[Carl Corts Flick Ons]

Announce mbappe

 

[Chris H]

If it’s a sort of insurance policy to protect UK businesses investments abroad from failure does that mean it’ll cover our £27m spent on Guedes?

 

[Wignall 3-0]

Do Castore manufacture their products in the UK? Is all Wolves merchandise made by Castore or in the UK? I would have thought the pre season tour to South Korea would have been part of the export of the Wolves brand the Govt. grant (not a loan?) is there to support.

 

[chignalwolf]

I don't understand it but sounds like some good news!!

Anything to do with gaining money from any government scheme always sounds good Clipboard, but you just know they will want it back plus.

 

[lobodelsur]

Paywall for me that’s why I’m asking

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[lobodelsur]

Same

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[Dr Wolfenstein]

I don't think it's funding or a loan, but merely credit guarantee or insurance for export activity up to the value of £99m. It's an extra surety or safety net.

 

[oldgoldheart]

its not a loan. its just a guarantee. no money will change hands

 

[oldgoldheart]

It's not clear to me whether this is a loan or a grant, but I think it's the latter. The guarantees given from our owners relate simply to how the money is spent, I think. I'm a little uneasy about it. If the article was about Manchester United, Manchester City, Liverpool, or similar clubs, I wouldn't be at all impressed. It's hardly a level playing field if some clubs are getting government aid.

EDIT: Actually, now I'm not sure that it is a loan or a grant. I think it's just a guarantee that they get investment repaid if they make a loss on foreign markets. I'm still a bit uneasy, but less so.

it is neither. its just a guarantee. its very isleading to say the taxpayer is funding. if we go bust then they would pick up some of the tab. otherwise no money changes hands

 

[oldgoldheart]

Export Development Guarantee

Find out about our Export Development Guarantee: its benefits, eligibility criteria and how to apply.

www.gov.uk

this is what it is. it allows lenders to support the club because there is a government gtee. nothing to see here

 

[ombyman]

So, let me get this straight....a Chinese owned company can get a grant of nearly 100m to develop itself overseas, to boost its profits which will end up overseas (in China). While the locals hired by the club have minimum wage. We have a special government, the red corridors must be echoing with laughter.

(I haven't actually read it, just fancied a uninformed rant)

 

[purplepault69]

So, let me get this straight....a Chinese owned company can get a grant of nearly 100m to develop itself overseas, to boost its profits which will end up overseas (in China). While the locals hired by the club have minimum wage. We have a special government, the red corridors must be echoing with laughter.

(I haven't actually read it, just fancied a uninformed rant)

And you are spot on with Uninformed.

 

[Bawtry Wolf]

Export credit guarantees are not that unusual and as others have said no money changes hands unless the terms of the guarantee are met. Hats off to Wolves for being the first.

 

[Contrarian]

So, let me get this straight....a Chinese owned company can get a grant of nearly 100m to develop itself overseas, to boost its profits which will end up overseas (in China). While the locals hired by the club have minimum wage. We have a special government, the red corridors must be echoing with laughter.

(I haven't actually read it, just fancied a uninformed rant)

Yes, and we may have to play some home games in Wuhan. (I haven't read it either, though).

 

[Glass ankles]

Don't understand what it means or how it benefits us? Do the govt act as a guarantor should we want to get a £90m loan and we go bust?

 

[BlahBlah]

I don't think it's funding or a loan, but merely credit guarantee or insurance for export activity up to the value of £99m. It's an extra surety or safety net.

There's also something about using it as a Govt. guarantee for getting paid for selling product to overseas investors.
Overseas investors would theoretically be investing into a British company so the British company uses it's Government's own insurance to protect it's assets in case they get welched on, where private insurance may not be obtainable or affordable.
Good for Britain, good for investor confidence in a country that is crying out for foreign investment etc.. It takes away some business risk.

Just cannot understand how this works for things like selling shirts and merchandise, which we take most of the payments for over the counter in the UK, but we have some weird overseas deals with other companies like gaming and sponsorships...who knows how they are setup to ensure we get paid from our 'product' being exported ?

It's an interesting question...what are we exporting and what is our product? Is it intellectual property, trademark, advertising and franchising rights? We play in the UK and the product is entertainment-based and broadcast?

 

[oldgoldheart]

So, let me get this straight....a Chinese owned company can get a grant of nearly 100m to develop itself overseas, to boost its profits which will end up overseas (in China). While the locals hired by the club have minimum wage. We have a special government, the red corridors must be echoing with laughter.

(I haven't actually read it, just fancied a uninformed rant)

No. Its not a grant. Its not even a loan

 

[CodsallWolf]

Huge credit to the guys for exploring this avenue and then making it happen. We have some very capable people at Wolves and if this helps us develop our club (business) then great.

Pity they can’t play football though.

 

[SuperGran]

https://twitter.com/x/status/1678783953556193281

 

[Parkfieldswolf]

Such is the **** poor state of the Express and Star these days it’s taken them over 48 hours to ‘break’ this story. When I was young I could walk from the Molineux and by the time I’d gotten to Queen St the pink was on sale with a report and pictures of the game! That was over 35yrs ago what happened to progress?

 

[wwbug]

If it is a loan guarantee that will be helpful, and should see us be a bit more adventurous.

 

[Monk]

Just seen this on Dinglec watch

Dingles going down the plug-hole faster than we are I hope.
Of course, everything's going swimmingly, damn good deal etc, etc

They are so stupid don't they know that there is a guarantor - but then I thought you could buy over 1.5 of them and still have £9 m left. Disturbing if your of their persuasion

 

[Black Country Wanderer]

From what ive read and seen on other outlets its similar to the Macquarie loans we have had in the past
It helps with cash flow by guaranteeing sums up to £100 mil
Its guaranteed by Fosun not Wolves as a club and was taken out a year ago
So no its not a war chest but could free up cash in a round about way

 

[StaffordWolf]

From what ive read and seen on other outlets its similar to the Macquarie loans we have had in the past
It helps with cash flow by guaranteeing sums up to £100 mil
Its guaranteed by Fosun not Wolves as a club and was taken out a year ago
So no its not a war chest but could free up cash in a round about way

Probably already did free up funds when we bought Sasa, Guedes and Nunes last year.

 

[clivewolves]

“Whoever spotted it deserves a Steve Bull signed shirt and a bonus,” says Kieran Maguire.

"The interest rate on the UKEF loan is understood to be between three and four per cent. That compares to a rate of 7.14 per cent in the last financial year on the Macquarie loans — a rate that Maguire estimates would stand at between nine and 10 per cent due to a rise in global base rates."

'Clever opportunism' - how Wolves secured a £99m government loan

Wolves borrowing £98,680,876 from the government has been criticised - but is it just shrewd or taking advantage of the rules?..

theathletic.com