Family of former England boss 'forced to sell luxury lakeside mansion' to help settle £8million debt

Eriksson died in August last year at the age of 76.

He passed away at the luxury residence in Torsby, Värmland, in Sweden after a long illness with pancreatic cancer, which he had publicly announced as terminal earlier that year.

The mansion was initially listed at £2million but has been sold for significantly less, according to The Sun.

His family were compelled to reduce the asking price by £400,000 to generate buyer interest, with the property eventually selling for a minimum of £1.3million.

The sale represents merely one component of efforts to resolve the former Three Lions manager's considerable financial liabilities.

An unnamed businesswoman from the e-commerce sector has purchased the seven-bedroom property, known as Björkefors, for an undisclosed amount of at least £1.3million.

The buyer revealed a personal connection to the estate, having visited as a child when her father carried out renovation work for Eriksson.

Describing her childhood impressions of the property, she said: "Of course I thought it was fantastic."

The estate features six bathrooms, tennis courts, a pool house and private beach access along Lake Fryken.

Eriksson originally purchased the mansion in 2002 for £4.5million.

This means the family lost approximately £3million on the investment.

The Swedish manager accumulated debts totalling more than £8million before his death, with £7.4million owed in tax to HMRC alone.

These tax obligations stemmed from his participation in an investment scheme involving film production that was intended to postpone tax payments but was subsequently declared illegal by authorities.

Additional financial obligations of at least £1million brought his total liabilities to approximately £8.4million.

Despite possessing assets valued at nearly £5million, the estate faced a shortfall of £3.7million, necessitating the disposal of both the property and personal belongings.

The purchaser expressed her intention to preserve the property as a family gathering place, stating: "Our dream with Björkefors is to make it an obvious gathering place for the family for generations to come."

During his 42-year managerial tenure across twelve clubs and four national teams, Eriksson accumulated substantial earnings, including £22. million from his five-year England appointment between 2001 and 2006.

Earlier this year, his family auctioned memorabilia for £140,000, including his Armani suit from the 2006 World Cup containing handwritten team notes.

Estate agent Henrik Flint confirmed bids started from £1.3million, though the final sale price remains confidential.