City Hall is losing £19 million every year due to the long-term deal signed with West Ham United over the use of the London Stadium, officials have revealed. The agreement, signed in 2013 when Boris Johnson was Mayor of London, named West Ham as the former Olympic stadium's long-term tenants for 99 years with no break clause on the Greater London Authority's (GLA) side.
Mayor criticises predecessor
The current Mayor of London has blamed Boris Johnson for failing to obtain better terms for the capital's taxpayers. The deal includes a clause that sees West Ham, who were relegated from the Premier League at the end of last season, pay less than half the £4.6 million annual rent they were responsible for while in the top flight.
Lyn Garner, Chair of the London Stadium LLP, the body set up to transform and manage the stadium, revealed the extent of the dire financial situation in a London Assembly Economy Culture and Skills Committee meeting. "We are going to finalise the accounts at around a £19 million operating loss," she said. "This is not unusual. It's been in this ballpark for some time."
Limited non-football events worsen losses
Garner noted that the losses have been worsened by limited non-football events, such as concerts and athletics, being held at the ground. "2025-26 was a particularly bad year for London Stadium, with only two summer concerts. This year is a bit better. With this summer, we've just hosted six events, five concerts and Soccer Aid. That's helping with the finances. But, of course, it's one step forward and two steps back because of the relegation reduction. So, we're still in the same ballpark of about £19 million."
She added that the GLA has managed to drive efficiencies and improve commercial deals, but remains responsible for all overheads and repair and maintenance of a huge national venue.
Contract criticised as unfair
Garner said she would "absolutely not" sign the current deal if it was presented now, and noted that vague aspects have led to legal disputes. "The relationship with the football club historically has been quite tense," she said. "We've disagreed on interpretations around the contractual piece. And I don't think that's any surprise when the taxpayer is under such a huge pressure. It's a very good contract for West Ham United. Well done, is what I say, in terms of the original negotiation - but it causes pressures and tensions."
She stressed that the GLA must honour the contract. "It doesn't matter whether it's fair or not. A commercial deal was done, and we're in a contract, and we must honour it. There are no break clauses in this contract, so we have to face into that and see what we can do around the edges to improve the situation. I'd like to see the whole thing set aside and to start again, but I can't see that happening."
Five-point plan to mitigate losses
Garner laid out a five-point plan to help mitigate the annual losses. This includes seeing WHUFC Women, who currently play at Dagenham & Redbridge's Chigwell Construction Stadium, shift to the London Stadium, with the club picking up the costs. "We would really desperately, like the club, like to see women's football played at London Stadium. It's not played at the moment because there's a dispute about how it interacts with the contract and the cost of it."
The London Stadium LLP will also look to host more major concerts, like Tottenham Hotspur Stadium, which can hold up to 50 non-football events per year. In contrast, Newham Council only allows the London Stadium to host 10 events a year outside football. Plans could include working with the club to put on concerts in September while the team plays away.
Stadium atmosphere and commercial opportunities
Another simple fix would be making the stadium less "sterile," Garner said. "For example, one of the things we've considered inside the bowl is turning all the seats claret, West Ham coloured. It's an easy thing for us to do. It doesn't affect our concerts or MLB or anything else, but it would feel more intimate, more West Ham."
Garner also suggested commercial opportunities in the land surrounding the stadium. "In a couple of years, I'd like to think that we take our eyes off football a little bit and have a look at the real estate around the stadium and what other opportunities there are to make some commercial gains to bring down the pressure for the taxpayer." This includes development for more food and beverage outlets and a potential leisure anchor on available land.
Naming rights may have to wait until the club returns to the top flight. "It's probably not the right time to sell the naming rights when we're in the Championship - we need to get back into the Premier League," Garner said. "But there are lots of preparatory things that we can do to present a united front in terms of putting the naming rights to the market. I don't think it's the number one priority, but I think it's up there with other priorities. I'm a little bit pessimistic because of what's happened in the past and, frankly, the hard bargain that the club has sought to drive in this area that I would like to see some flexibility on, because they do have a value, but I don't want to sell those rights for 10 years at an under price for the taxpayer."
The committee had invited Karim Virani, the new interim CEO of WHUFC, and former Mayor Boris Johnson to appear, but neither was able to attend.
