The reduction will be a blow to British billionaire Jim Ratcliffe, who struck a long-awaited deal last month to buy a 25% stake in the club to try to revive its fortunes.

As part of that deal, Ratcliffe’s INEOS group took over management of the club’s football operations.

The club currently sits seventh in the Premier League table following a 2-2 draw against Tottenham Hotspur at the weekend.

Broadcasting revenue for the first quarter of its financial year rose 12.3% to £39.3 million thanks to its participation in the group stage of the Champions League.

But that revenue is expected to fall after the club’s 1-0 defeat to Bayern Munich last month ended its hopes in Europe this season, piling pressure on manager Erik ten Hag.

Uefa, Europe’s football governing body, distributes a share of revenues to clubs competing in the lucrative tournament.

Manchester United reported a net loss of £25.8 million for the quarter ended Sept 30, compared with £26.5 million a year earlier.

It now expects fiscal 2024 revenue of £635-£665 million, versus its previous forecast of £650-£680 million, and an adjusted core profit of £125-£150 million, compared with £140-£165 million previously.

Operating expenses as well as costs related to players’ salaries also rose in the quarter.

Under ten Hag, the club bolstered its squad in the summer transfer window, with new signings including Rasmus Hojlund from Atalanta, Mason Mount from Chelsea, and Andre Onana from Inter Milan.

It reported a total revenue of £648.4 million and an adjusted core profit of £154.9 million in fiscal 2023.