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January 28, 2009

Posted on 01/28/2009

RFU and Premier Rugby set for "ruck"

Mark Reason tackles the latest scrap between the RFU and Premier Rugby in The Daily Telegraph, and doesn't predict a happy outcome for everyone.

"The RFU would seemingly like nothing better than to see one or two clubs go to the wall. Such an eventuality is thought to have formed part of the RFU strategy when they signed the agreement with Premier Rugby Limited and the Premiership clubs last July.

"In return for funding the clubs to the tune of £88 million over eight years, the RFU demanded the removal of a clause preventing the union from gaining ownership of clubs. The RFU reasoned that if they could get control of some of the clubs, they were on their way to regaining control of the England players.

"The RFU believe that the clubs are losing more than £25 million per year at the moment, and that those such as Bristol and Newcastle will struggle to survive in the economic climate. An RFU source said: "The RFU now has the freedom to own clubs. That was the trade-off for an eight-year deal."

"The clubs are likely to react furiously to the rejection of the extra games, with Mark McCafferty, the chief executive of Premier Rugby, having already predicted "a ruck" with the RFU. But there are many in the game who will be surprised by just how much the RFU gave away in the agreement, in order to secure player release, a structured season and the right to buy clubs."

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