Arsenal have confirmed they are taking out a £120million loan from the government after meeting the criteria set by the Bank of England for the Covid Corporate Financing Facility.

Like many other clubs in world football, the Gunners are dealing with financial complications brought on by the coronavirus pandemic.

And after meeting the criteria for CCFF, a scheme designed to support larger firms experiencing cash-flow problems amid the Covid-19 crisis, the club have confirmed they will be taking a short-term loan from the government to help with revenue losses.

An Arsenal statement reads: “As we continue to work through the implications of the global pandemic on our finances, we can confirm today that the club has met the criteria set by the Bank of England for the Covid Corporate Financing Facility (CCFF).

Arsenal have been forced to take out a £120million loan from the government as a short-term solution to financial complications brought on by the coronavirus pandemic

“As a result, we are taking a short-term £120 million loan through this facility to partially assist in managing the impact of the revenue losses attributable to the pandemic.

“This is a similar approach to that taken by a wide variety of major organisations across many industries including sport, and is repayable in May 2021.

The scheme was designed by government officials to support larger firms experiencing cash-flow problems

“The CCFF is designed to provide short-term finance at commercial rates during the pandemic to companies that have strong investment ratings and which make significant contributions to the British economy.

“The CCFF is in addition to the loan provided by our owners Kroenke, Sports & Entertainment that enabled us to refinance the debt on Emirates Stadium in August last year.”

And the Gunners will be taking the short-term loan after meeting the criteria for CCFF, despite their Kroenke owners providing a cash injection last year
And the Gunners will be taking the short-term loan after meeting the criteria for CCFF, despite their Kroenke owners providing a cash injection last year

Get the latest transfer news straight into your inbox!

Want to be on the ball with all of the latest football news?

Well then sign up for the brilliant new Daily Star Sport email newsletter!

From the latest transfer news to the agenda-setting stories, get it all in your email inbox.

How do you sign up?

It only takes a matter of seconds.

Simply type your email address into the box at the top of this article and hit 'subscribe'.

And that's it, job done. You'll receive an email with all of the top news stories every single morning.

You can find out more information on our email newsletter on this link here.

Arsenal were criticised back in August after announcing 55 members of staff were to be made redundant amid the pandemic, while Mikel Arteta’s coaching and playing staff agreed to a 12.5 per cent pay cut.

Despite their financial woes, the north London club still produced a net spend of £60million in the previous summer and autumn transfer window.