Manchester United legend Bryan Robson has been dealt a double financial blow after losing his IR35 tax case against HMRC whilst also facing salary cuts in his club ambassador role.
The former England captain’s appeal was rejected by the First-Tier Tribunal, which found he was acting as a ‘disguised employee’ in his ambassadorial position at Old Trafford.
The ruling comes as United’s new minority owner Jim Ratcliffe implements widespread cost-cutting measures affecting club ambassadors’ salaries.
Robson, who has served as a Global Ambassador since 2011, currently receives £150,000 every six months for making a minimum of 35 personal appearances at functions and events.
Bryan Robson has been hit by a salary cut as well at United
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The tax bill stems from HMRC’s view that Robson should have paid National Insurance contributions and PAYE between December 2019 and April 2021.
Robson’s personal services company, Bryan Robson Limited, was found to be heavily dependent on Manchester United, with the club accounting for 87 per cent of his income (£171,000) in 2019/20.
This dependency increased to 94 per cent (£319,000) in 2020/21, strengthening HMRC’s position that he was effectively an employee rather than a contractor.
Seb Maley, CEO of IR35 specialist Qdos, said: “This high profile HMRC win underscores the importance of ensuring compliance – whether you’re a freelancer, contractor or business engaging these workers.”
“But make no mistake, this wasn’t your average freelancer and client relationship. Manchester United controlled many elements of this engagement – a hallmark of an employer-employee relationship,” Maley added.
The exact amount of the tax bill remains undisclosed, as HMRC’s calculations included separate image rights income.
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The salary cuts affecting Robson are part of broader financial restructuring at United, with fellow ambassadors Denis Irwin and Andy Cole also facing reduced earnings.
Current matchday ambassadorial duties, which include hosting sponsors and hospitality guests during home matches, command between £500 and £1,000 per appearance.
The reductions are particularly significant as many affected legends played before the era of high football wages.
These cuts follow other cost-saving measures under INEOS ownership, including Sir Alex Ferguson giving up his £2m ambassador salary.
The club has also implemented 250 non-playing staff redundancies and reduced Christmas bonuses from £100 payments to £40 vouchers.
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Sir Jim Ratcliffe has been huge cuts at United in recent months
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United’s annual £40,000 donation to The Association of Former Manchester United Players has been stopped.
The Manchester United Foundation is also facing funding cuts, while match ticket prices for children and pensioners have risen to £66 minimum.
Robson, nicknamed ‘Captain Marvel’, scored 74 goals in 345 league games for United after joining for a then-record £1.5m in 1981.
The former midfielder earned 90 England caps and inspired future stars like David Beckham and Steven Gerrard.
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Bryan Robson is regarded as one of United’s best players of all time
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His ambassador role, which began in 2008, is part of his continued association with the club where he helped end a 26-year wait for a league title in 1993.
The financial restructuring comes as Ratcliffe has already invested £300m of his personal fortune beyond his initial 27.7 per cent stake purchase.
These funds were intended for the new stadium project but may be consumed by existing losses, with the club recording £113m losses last year.
United currently sit 13th in the Premier League, having won just seven of their 22 matches this season.