Financial boost gives Portsmouth fresh hope

The League have agreed to resume Basic Awards payments to the npower Championship’s bottom club, following discussions with Birch. The payments are normally made on a monthly basis to all League clubs and are worth around £200,000 to Championship sides.

Birch said: “I am pleased to confirm that there have been some positive developments at Portsmouth Football Club over the last few days. I have held constructive talks with The Football League, who have been incredibly supportive. The League have confirmed that we will receive the four outstanding payments for the current season as and when they fall due, subject to any outstanding balances owed to other clubs. This money will go a long way towards plugging the club’s financial gap and allowing us to complete the season.”

A succession of collapsed sales and two administrations had led Birch to say Portsmouth may not have the funds to complete the season. It meant they faced the very real possibility of becoming the first professional club in England to go out of business in the middle of a season since Hampshire rivals Aldershot in 1992.

Yet Birch said last night: “This is clearly a very positive step, but I wish to emphasise that we are not out of the woods yet. The additional money buys us more time but it does not solve the club’s problems and it does not guarantee the club’s survival.

“But thanks to this and other initiatives currently being considered by the joint administrators, which may include further player loans, we should be able to get to the end of the season.

“PKF’s overarching objective is to find a buyer before the money runs out. The club needs the continued support of the local community if it is to remain in business for the long term. From what I’ve seen over the past few weeks, I know that the fans, staff and players will give it their all.

“I am grateful to The Football League for their efforts in what has undoubtedly been a difficult situation for them. I would also like to thank the PFA, who have been playing an important role behind the scenes throughout the administration process. There is still much to do but I am working hard to achieve a successful conclusion for the club.”

A Football League spokesman said: “As in all insolvency situations, we are focused on the ultimate survival of the club for its supporters and the wider community. We will now continue working with the administrator to achieve a successful restructuring of the club.”

Pompey last month went into administration for the second time in two years. Birch was forced to loan top scorer Erik Huseklepp to Birmingham to trim the wage bill and also announced 30 redundancies at the club.