Piataks' six-figure payment to reduce Carlisle United debt

The payment made by the Piataks was in response to a request from United’s previous owners/shareholders as part of negotiations.

United confirmed in recent supporters’ groups (CUSG) meeting minutes that the Piataks’ Castle Sports Group had paid £100,000 to reduce the debt to Pioneer which had stood at £417,000 in United’s 2022/23 accounts.

This, the club said, was “over and above” a repayment plan which had already been agreed before last November’s takeover by the American business family.

Asked by the News & Star to elaborate on this part of the deal, United chief executive Nigel Clibbens said: “The details and terms for the takeover were negotiated by the individual shareholders.

“One of their specific requirements during those negotiations was to see a further cash payment to reduce the debt as part of the deal. The Piatak family agreed to this.”

Pioneer, whose chairman was the late, long-serving Carlisle United director, owner and chairman Andrew Jenkins, have long been supporters of the Blues with loans and other sponsorship.

Pioneer, the foodservice firm of the late Andrew Jenkins, have long supported United with sponsorship and loans (Image: David Hollins)

While the major club debt situation to be resolved at the takeover was that involving Purepay Retail Limited – the Piataks bought the £2.4m debt in order to help seal the deal and subsequently "forgave" it, removing it from the Blues' balance sheet – the Pioneer situation also needed to be addressed.

Clibbens added: “We have been receiving lots of questions from fans about the remaining debts of the club.

“When the audited accounts for the year ended 30 June 2024 are published, like every year, details of loans and repayments will be fully disclosed and this information will be in the public domain anyway.

“Just as dealing with the Purepay debt was an important part of the takeover deal, there was also a need to address the Pioneer debt.

“Before the takeover, the club and Pioneer had agreed a repayment plan, and alongside that, entered into a long-term sponsorship arrangement.

 “Pioneer Foodservice has been a great supporter of the club for a long time, and we are pleased to see this still continuing.”

Pioneer’s ongoing sponsorship of the club includes the East Stand, which was named after Andrew Jenkins in August last year in recognition of his decades of service to the Blues. Mr Jenkins died in July.

United added that their debt balance by June 30 this year was circa £236,000, with the June 2025 balance expected to be about £180,000, the amount being reduced “by cash repayments and sponsorship.”

The Piataks took 90 per cent control of the club last November, from previous owners Andrew Jenkins, John Nixon, Steven Pattison and shareholder Lord Clark, with the supporters' trust also reducing their stake from 25.4 per cent to ten per cent.