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Sheffield Wednesday enter administration owing £1m in unpaid tax

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Struggling Championship club Sheffield Wednesday have filed for administration

Struggling Championship club Sheffield Wednesday have filed for administration amid mounting financial issues under the stewardship of Dejphon Chansiri.

Thai tuna tycoon Chansiri has owned the Hillsborough club for a decade but the Owls have been under pressure to pay staff for a number of months, and reportedly owe around £1m in unpaid tax to HMRC.

And now a legal representative for the Championship team has applied to the High Court for a judge to appoint an administrator. Lawyers at Wiggin launched a notice of appointment, according to the filing system, on behalf of Sheffield Wednesday Football Club on Friday.

This is the formal procedure for kicking off the administration process for a company. The club will receive a points deduction in the Championship as a result of the filing.

In the coming weeks, a formal advertisement of the appointment will be issued, including the names and contact details of the administrators.

Sheffield Wednesday administration

Back in August the EFL said it was in “advanced discussions” with Wednesday’s owner over the sale of the club. 

“The League wants to see a strong, stable and competitive Sheffield Wednesday, and for that to happen we are clear that the current owner needs either to fund the club to meet its obligations or make good on his commitment to sell to a well-funded party, for fair market value – ending the current uncertainty and impasse,” said the EFL.

Since problems with Wednesday began, the government managed to pass the Football Governance Bill, setting up an Independent Football Regulator that plans to be fully operational by next month.

The regulator will have the power to force the sale of clubs if the ownership structure goes rogue, and can even put owners and directors in prison in the more extreme cases.

The club are bottom of the 24-club Championship, with one win in 11 matches, and face the prospect of relegation to League One.

Culture Secretary Lisa Nandy said: “We are working quickly to give the Regulator the powers it needs so it can better secure the future of football clubs and ensure they remain at the heart of their communities.”

The EFL and Independent Football Regulator were approached for comment.