Ineos has terminated Sir Alex Ferguson’s £2m contract as an ambassador of Manchester United as part of its cost-cutting drive.
Ferguson has been paid the annual sum for his roles as a global ambassador and a football board director, ever since stepping down as manager in 2013.
Ineos, owned by British billionaire Sir Jim Ratcliffe, has been reducing the club’s spending behind the scenes, telling employees in the summer that 250 jobs would be cut at Old Trafford, United’s Carrington training base and the club’s London office.
Ferguson has now been targeted as another potential saving, and after amicable talks between the legendary former manager and club officials, it was decided that his contract would not be renewed at the end of the season. He will retain a role as a non-executive director.
Ferguson, who turns 83 in December, led United to 38 trophies, including 13 Premier League and two Champions League titles, before he retired from management.
United are currently in 14th place after finishing a worst-ever eighth in the Premier League last season, despite spending just over £200m on players in the close season.
They have splashed out about £600m on new players since their under-fire Dutch manager Erik ten Hag took charge ahead of the 2022-23 season.
It is not known whether the cost cutting will affect other United ambassadors including former players Andy Cole, Park Ji-sung, Dwight Yorke, Denis Irwin and Bryan Robson.