Rising debts and soaring player wages, but there is no crisis at Everton, reports City Editor David Bartlett

EVERTON FC is walking a financial tight rope chief executive Robert Elstone admitted last night as the club’s accounts revealed its debts have risen to £44.9m.

Mr Elstone revealed there would be no transfer war chest for manager David Moyes in the summer

But he insisted the Goodison club did not need to sell stars like Marouane Fellaini or Jack Rodwell to balance the books.

The club continues to look for an investor to buyout chairman Bill Kenwright, he said.

And Mr Elstone said Everton has a “positive dialogue” ongoing with Liverpool council over sites for a new stadium – but at present does not have a viable funding model.

Turnover at EFC remained fairly static for the year ended May 2010, down £600,000 to £79.1m. The club recorded a pre-tax loss of £3.1m, with £4.5m paid in interest charges. Net debt now stands at £44.9m, up £7m from 2009.

The club’s overdraft facility expires in 20 days but its bankers have already indicated their intention to extend it on similar terms.

Crucially the club’s wage bill increased to 69% of its turnover, from 62%.

In December the club sold its former training Bellefield training ground for around £8m, but that cash was swallowed up in paying off existing debts.

Last night Mr Elstone told the Daily Post: “In essence what we are looking at is a pretty good set of accounts based on turnover holding up and looking solid in tough economic times.

“It is a healthy set of accounts, but like the vast majority of football clubs and businesses today money is tight.

“It will not stop us being ambitious and we will continue doing that.

“Our chairman has repeatedly said money is tight. In football you walk a tight rope of good financial management. I think we walk that tight rope pretty well.”