Aston Villa settle tax bill but financial concerns remain

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The club released a statement, following Tony Xia's latest update on Twitter, announcing that the club had reached an agreement with HMRC and that plans are being put in place to help move the club forward.

Aston Villa staved off the immediate threat of administration on Wednesday by finding £2million to pay a overdue tax bill owed to HMRC.

There's a bit of uncertainty around Villa Park after losing to Fulham in the Championship Playoff Final at Wembley and thus missing out on a berth in next season's Premier League.

West Ham, Manchester United and Leicester have been linked with the 22-year-old, although he is unlikely to move to the Foxes.

The club have given assurances that a further £700,000 will be paid to HMRC before the weekend, and are working on a short-term solution to their cash flow issues, so that the remaining £1.2m bill can be paid as soon as possible.

Villa have already let former and England and Chelsea captain John Terry and striker Gabby Agbonlahor go this summer and have said they will not be able to sign any of the five loan players they had last season on permanent deals.

Although they have resolved an immediate tax problem with Her Majesty's Revenue and Customs, Villa still have to raise £40million to comply with Financial Fair Play rules. The outstanding amount is then likely to be sent swiftly.

The Aston Villa Supporters' Trust has also called on the club to give fans an update on the situation.

Xia bought Villa from Randy Lerner for around £75m two years ago and it will require a similar figure to keep the club going for their third season in the Championship.