Birmingham City insist club will not be affected by financial concerns

Birmingham City have attempted to reassure the club's fans that any financial concerns at St Andrew's will not affect the side. However the owner, Carson Yeung, is attempting to attract new investors. "There are no problems with the day-to-day running of the business," said a spokesman. "The board are looking to raise capital to invest into the business." There are reports that City may not be able to compete in Europe after winning the Carling Cup unless they can assure the Premier League, Uefa and the Football Association their financial future is secure. A statement by Birmingham International Holdings – the club's parent company – to the Hong Kong stock exchange revealed Birmingham City and other Hong Kong-based businesses had total debts in excess of £29m. It also emerged last week that Yeung has put some of his own properties up as collateral for a multi-million pound loan . This would be used to "provide sufficient financial resources" to allow the business to continue "without significant curtailment of its operation". It is clear that Yeung would welcome further investment which would help to allay any fears of their place in Europe being snatched away by the football authorities. City need to obtain a Uefa licence to be able to take their place in the Europa League and this will depend on satisfying criteria about their finances. They will be desperate to avoid a repeat of the scenario with Portsmouth who qualified for the Europa League in 2010 but could not take their place because of financial problems. It would also be a hammer blow for the manager Alex McLeish and his players after the 2-1 win over Arsenal in last Sunday's Wembley final. Yeung took an initial 29.9% stake in Birmingham City three years ago before buying the club outright from David Gold and David Sullivan for £81m during the early part of the 2009-2010 season.