Clubs fear RFU's savage second-tier funding cut 'will affect many people's livelihoods'
English rugby bosses have been castigated for making significant cuts to Championship club budgets. The Rugby Football Union (RFU) has confirmed it will cut Championship funding in half to “approximately £288,000 per club” for the 2020/21 campaign.
The move plunges the future of many of the dozen Greene King IPA Championship clubs into doubt, putting jobs on the line. Nottingham chairman Alistair Bow has strongly criticised the RFU’s lack of warning, while Bedford Blues chairman Geoff Irvine branded the move Premiership ring-fencing “in all but name”.
“This has come as somewhat of a surprise to most if not all Championship clubs, and it puts almost all clubs in a very difficult position,” said Bow. “There has been no warning, no opportunity for negotiation or discussion and very little notice to be able to make informed business decisions on the back of it.
“Clubs, including Nottingham, have been in the process of securing contracts for players and coaches in recent months and these will need to be reviewed alongside a thorough assessment of what our future trading and performance might look like.
“It will also come as a huge shock to players, coaches and support staff across the game and I am sure will affect many people’s livelihoods. The Nottingham Rugby board are extremely disappointed with the RFU announcement and subsequent reduction in funding, but we are even more disappointed and somewhat astounded at the underhand and deplorable way that we feel this has been communicated.
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“To give Championship clubs next to no notice to be able to take action is not acceptable and we will be meeting urgently to review our strategy and consider our position going forward.”
Chief executive Bill Sweeney claimed that the RFU could not justify continuing with the increased funding the governing body has provided between 2016 and 2020. And that led Bedford chairman Irvine to condemn the move as handing the English Premiership a ring-fenced top flight by default, with budget cuts likely to deny Championship clubs the wherewithal to bridge the gap between the leagues.
Huge blow for second-tier rugby in England
— RugbyPass (@RugbyPass) February 12, 2020
“Obviously we are very disappointed with the decision of the RFU, in particular the timing of the announcement, but the board at Bedford Blues are determined that they will deal with the outcome and plan forward,” said Irvine. “I believe this is giving Premiership Rugby all that they want with regard to ring-fencing, in all but name and with none of the financial commitment or support.
“The significant reduction has come as a shock to the clubs, we will all need some time to consider our position. The value of the Championship has not been recognised or rewarded by the RFU, in particular when you consider how many of the England playing squad started their playing careers in the Championship.”
— RugbyPass (@RugbyPass) January 26, 2020
Sweeney insisted: “This is a decision based on a principle of ensuring levels of investment are geared to a clear return on investment. There are many worthy requirements from both the professional and community game and we need to make sure that every pound spent is clearly justified.
“The decision we have made is connected to a wider review of strategic objectives and resource allocation. The decision taken in 2015 to increase Championship funding significantly was against a set of objectives and deliverables that we do not believe have been achieved.”
– Press Association
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