They entered the 1985–86 FA Cup in the third round proper and lost in that round, at home to non-league club Altrincham, a result that precipitated the resignation of Ron Saunders as manager.

[1] They were eliminated from the League Cup by Southampton in a third-round replay.

John Bond succeeded Saunders as manager.

The top scorer was Andy Kennedy with just nine goals, of which seven were scored in league competition.

The club's serious financial situation, not helped by low attendances, led to the departure of several senior administrative staff.