Source · Select Committees · Culture, Media and Sport Committee
Recommendation 1
1
Acknowledged
Paragraph: 7
The financial situation of Premiership clubs is clearly unsustainable, and we are surprised by the...
Conclusion
The financial situation of Premiership clubs is clearly unsustainable, and we are surprised by the very complacent belief of Bill Sweeney and Simon Massie-Taylor that further growth in club revenues will solve these problems.
Government Response Summary
The government noted the report's comments on rugby union finances and highlighted the Sports Survival Package provided during the pandemic. They are in close communication with the PRL and the RFU on their plans to manage the immediate financial and governance issues facing the sport and their longer term plans for sustainability in professional rugby.
Paragraph Reference:
7
Government Response
Acknowledged
HM Government
Acknowledged
Finally, I noted the report’s comments on the finances of rugby union. Throughout the pandemic, the Government went above and beyond through the Sports Survival Package to provide rugby clubs and all sports clubs with generous financial support to ensure their survival throughout the difficult period. Those clubs would almost certainly have failed without that support. The Government has also noted the RFU’s Annual Report for 2021-22, published after the Committee’s report. The Government is in close communication with the PRL and the RFU on their plans to manage the immediate financial and governance issues facing the sport and their longer term plans for sustainability in professional rugby. The rugby authorities recognise the need for action on financial sustainability, and I welcome the changes to governance procedures aimed at avoiding a repeat of the current situation that are to be introduced. We have been clear that we expect to see governance reforms that include stronger financial regulations and Owners’ and Directors’ Tests. We believe there to be the willingness from the rugby authorities to do so.