Gateshead FC are facing winding-up proceedings from HM Revenue and Customs over an unpaid tax bill exceeding £200,000, with the next 48 hours set to prove decisive for the National League club's future.
The crisis-hit club, whose takeover hopes have stalled, owe more than £200,000 in overdue PAYE and VAT payments. Players and staff have also not been paid for October, marking the second consecutive month of unpaid wages.
Takeover dispute stalls rescue deal
The US-based Flacks Group, which boasts assets worth in excess of $7bn, remain keen to secure a deal to rescue the Heed and have ambitious plans to improve matters on and off the pitch at the International Stadium. However, the agreement they reached with Gateshead directors last month has stalled over a dispute with Shoreline Limited, a group fronted by former Sunderland and Everton striker Victor Anichebe, who attempted to secure a deal for the Heed during the second half of the 2024/25 season.
Shoreline are currently taking legal action against several Gateshead shareholders as they look to recover 'certain financial sums' they provided for the club as negotiations over their own takeover continued. Both parties remain in contact, with Flacks Group seeking a waiver from Shoreline confirming their claim to Gateshead is now at an end. The potential owners have reiterated that such a move would not impact on any legal proceedings against shareholders.
Signing a waiver would clear the way for Flacks Group to conclude their deal for the Heed with the help of the Independent Football Regulator, who have confirmed they have remained in contact with all parties involved. Worryingly for Gateshead fans, the club's potential owners have been approached by at least two EFL clubs over a possible investment over the last week.
HMRC deadline looms
The matter is further complicated by Shoreline's ongoing bid to conclude a takeover at League One strugglers Bromley. Despite key figures within the Ravens setup believing a deal is closing on completion, the dispute at Gateshead will prevent it being finalised for the time being.
On Monday, Gateshead were contacted by HM Revenue and Customs over overdue PAYE and VAT payments and have been given a deadline of Wednesday, November 4 to show progress in resolving the issue between Shoreline and Flacks Group. Should that deadline not be reached, Gateshead would be hit with a formal demand warning of potential winding-up proceedings that would give them a week to pay the outstanding amount, believed to be worth over £200,000, or agree a repayment plan.
Gateshead FC have been contacted for comment. Flacks Group are preparing for a takeover deal to be concluded and have been working behind the scenes to put plans in place to strengthen the infrastructure at the International Stadium over the early weeks and months of their tenure. A managerial appointment will be top of the agenda, with plenty of interest in a possible role when or if a takeover is completed. Newly created roles behind the scenes and within the coaching staff will also be filled as the potential owners look to secure major progress on and off the pitch.
MP voices concern
However, those plans could be ripped up if the issue with Shoreline remains unresolved as talks between the legal parties of both sides are continuing ahead of a monumental 48 hours in the future of the football club. There was further bad news for Gateshead's players and staff after they failed to receive their wages on time for the second consecutive month. They were due to receive their wages for October on Friday, but as of Monday evening, no such payments have been made.
Flacks Group stepped in to pay the wage bill for September after they initially agreed a deal with the club's current owners after the club had been hit with a transfer embargo by the National League. Local MPs have shared their concerns over the situation, with Mark Ferguson, Labour MP for Gateshead Central and Whickham, stating he will do 'whatever is within his power to provide certainty and clarity' for supporters and the town.
In a statement released via social media outlets, he said: "I'm really concerned about the growing uncertainty at Gateshead FC and the possibility that the proposed takeover may not go ahead. After everything that's happened in recent weeks, players, staff and supporters deserve better.
"I'm particularly worried by the comments from Ben Clark, who has warned that without a takeover, there might not be a football club at all. I share Ben's concern. I'm genuinely worried about the future of Gateshead Football Club. We cannot allow a club that means so much to our town to be put at risk.
"I've been in regular contact with the club throughout this period, and I'm determined to do whatever I can to help secure its future. There are clearly outstanding issues that need sorting before the takeover can move forward. I'm calling on everyone involved to get around the table, work through those issues and find a way forward. Whatever disagreements exist, everyone must put the future of Gateshead Football Club first.
"Gateshead FC is an important part of our town. Its players, staff, supporters and the wider community deserve stability, certainty and confidence in its future. I'm ready to do whatever is within my power to help provide that certainty and clarity, bring people together and secure a positive future for the club."
