Thomas replaced Nick Merry as U's chairman on Thursday

Oxford United's new chairman Kelvin Thomas has dismissed talk of the club leaving the Kassam Stadium.

Thomas, who replaced Nick Merry, has admitted that because the club would have to pay all future rent that was due, the idea was a non-starter.

"It's discounted pretty quickly when you have an easier job of financing and buying the stadium than buying a new one," Thomas told the BBC.

It is thought the club owning their own ground is key to their survival.

A figure of around �13m has been agreed with the club's former owner Firoz Kassam for the sale of the stadium, but United have struggled to find the necessary cash.

They have also been dealing with what Thomas calls "short-term" financial problems.

He said: "I have a good relationship with Firoz Kassam and he has been helpful in terms of us meeting some of our payments and giving us time to get over the hurdle."