Exeter City’s fan-ownership model faces its biggest test yet

Exeter City’s owners describe the relationship with their main shareholder as “reset” after a season of financial turmoil that ended in relegation to League Two. The club borrowed about £600,000 from the Exeter City Supporters’ Trust during the 2024-25 season to cover an overspend, marking a sharp turn from four years in League One. Wilf Walsh, the club’s new chairman, and the Trust have agreed stricter financial rules and a renewed focus on the academy and local community to stabilise the club’s future.

Walsh acknowledged that last year’s lack of rigorous financial oversight contributed to the overspend, describing the club’s finances as “constrained” due to its fan-ownership model. “We’ve always had difficulties here, it’s always been constrained in terms of our finances naturally because of trust ownership,” he told . “So any kind of slip in financial performance is felt quite hard here.”

The club’s ownership structure requires Trust approval for major decisions, including spending over £50,000 or hiring key personnel, while day-to-day operations remain with the club. Exeter City are cutting their playing budget this summer after relegation and have secured a financing facility against the training ground, though they have not yet drawn on it.

Despite short-term constraints, the Trust and club believe the fan-ownership model offers long-term resilience. Trustee Matt Phillips questioned the sustainability of investor-led ownership, citing struggles at clubs like Sheffield Wednesday, and argued that supporter ownership could thrive when the footballing landscape resets. “Is it sustainable us maintaining our course to some extent, and then when the footballing reality resets itself more broadly we’re in a position to thrive?” he said.

Exeter City’s academy remains central to their future, having produced players like England striker Ollie Watkins, Wales’ Ethan Ampadu, and Coventry City captain Matt Grimes. In their latest accounts to 3 June 2025, the club reported a £350,000 profit, but without player sales and transfer clauses, this would have been a £4.5m loss. Walsh emphasised the academy’s dual role: producing talent for the first team and generating transfer revenue.

The Trust insists it has no plans to relinquish control but would consider serious investment proposals. Exeter City are one of just two fan-owned clubs in the English Football League, alongside AFC Wimbledon, and their model is increasingly rare in a landscape dominated by overseas owners aiming for rapid ascension.

Trust chairman Pete Perflie dismissed concerns about the model’s limitations, stating: “We are going to focus on what we can do, what we can control and how we can move it forward.” The club is exploring new income streams to strengthen its financial position as it prepares for life in League Two.