Grim prediction following crisis meeting: 'I believe Premiership clubs will go out of business'
Leicester chairman Peter Tom expects Gallagher Premiership clubs to fold as a result of new restrictions on crowds that also threaten the future of English professional rugby. A telephone meeting of the top flight’s chairmen was held on Thursday morning to discuss a way through a crisis that has been renewed by government guidelines preventing fans from attending matches for up to six months.
For all the unified purpose in ensuring clubs and the league survive a second wave of the coronavirus pandemic, Tom admits the outlook is bleak. “This is a disaster for Premiership Rugby and all the clubs involved,” said the Leicester administrator.
“I’m very worried about what the future for English professional rugby is. Nobody will be able to sustain this. Adjustments have been made to players’ salaries and other cuts have been made, but if we have to go another six to nine months like this, it will be absolutely devastating.
“I believe Premiership clubs will go out of business. The whole of the Premiership would be threatened. Certain clubs have a different structure in the shape of an owner with lots and lots of money. But for the rest, these are brutal times. Myself and the board have two clear objectives – the survival of Leicester Tigers and improve our performance on the pitch,” continued Tom about the decision to keep Premiership stadiums closed to fans.
Premiership Rugby and the Rugby Football Union have applied for government bailouts and while Oliver Dowden, the Secretary of State for Digital, Culture, Media and Sport, has indicated support will be offered, it is unknown what form this will take.
Even well-run Exeter are now minding the pennies https://t.co/aYNIhPTXk6
— RugbyPass (@RugbyPass) September 23, 2020
Even for a Premiership club the size of Leicester, the finances are severely stretched after £500,000 was paid back to season ticket holders two weeks ago and £1.6million to £2m lost on having to stage four home games behind closed doors. And with the RFU also being hit hard by the absence of spectators for their Autumn Nations Cup and Six Nations games, there could be a reduction in funding from Twickenham.
“We were early in realising the consequences in March and April. We had the public fallout with four of the players and we had to make 30-plus people redundant,” Tom said. “We were starting to feel more confident, but now we’re having to completely rethink what we do. We came into this in a pretty strong financial position because we put the CVC money back into the business.
“Some fans may come under pressure financially because of job losses and things like that, so we have to assume we’ll lose season ticket money as well. We’re in as good position as anyone to get through this – except for the clubs with owners who have lots of money – but it will be brutal.”
Tom’s grim forecast has been echoed across the Premiership with Worcester owners Colin Goldring and Jason Whittingham revealing the Warriors are facing potentially ruinous losses.
“Playing matches behind closed doors for another six months is clearly not sustainable for this club nor for the Premiership as a whole,” a statement read. “The additional loss of our events business puts further pressure on our chances for financial survival.
“Without the revenue generated on matchdays from crowds, sponsors and their associated spend, Warriors and all professional sports clubs cannot hope to be sustainable without significant support. At the moment we do not know, even if it does arrive, what that support might look like. Until we have that clarity it is impossible for us to know what the future of professional rugby in England looks like.”
"It’s a big testimony for me… I thought my rugby was over but it just kept me going. When you stick to the word of God, that keeps me going every day"
– New Leicester signing Kini Murimurivalu on his successful long career w/@heagneyl ???https://t.co/rMJTc4Lshg
— RugbyPass (@RugbyPass) September 22, 2020
Comments on RugbyPass
Ireland. The Princess Diana of Rugby. I never cheered so much for a team as i did for the All Blacks in that QF.
43 Go to commentsWill be great to see the Leinster first XV back in action again after their cotton wool time…
1 Go to commentsLooked up Grant Constable on google and reply was doppelgänger for Ben Smith
43 Go to commentsIt is so good that we now all get excited and debate who is best and emotionally get involved. We all back our teams which is great. Up until about 15-20 years ago, NZ was basically on its own, and then Saffa, Aussie and sometimes French and English were there. We now have at least 5-6 really top sides and another 4 who keep improving. This is so healthy. So we should not resort to rubbish comments and unhealthy debate, but rather all be chuffed that the product we watch is not competitive, exciting and often uncertain. It would be so good if World Rugger could find a way to align the rules to professional players as well as spectators. Live rugby games are SO boring as there is SO much down time as we wait for refs and TMOs and whoever else to look at every small event going back endless phases with the hope of eventually find a minute infringement to then decide cancel what was a wonderful try. This is the ultimate cork back in the bottle moment and feels like every balloon is always being popped. Come on- we must be better with the rules.
43 Go to comments“upon leaving said establishment I tripped over a stool knocking some bottles into the air and as I fell I accidently dislodged a police officer’s teaser who was passing by on an unrelated matter there by landing on said taser which caused it to discharge 50,000 watts into me. Out of shock I shouted Ireland are going to win the world cup. Upon waking up I apologised for the distress caused by my Ireland comment. The matter is closed. If you wish to pursue this matter may I remind you what I told Wayne Barnes when he sent me off. I AM A BIG ASS MAN”. Or was it “I AM A BIG ASS, MAN” or was it “I AM A BIG ASSMAN”?
1 Go to commentsThe only championship the Boks hold are: Great value for the incompetence of referees during the RWC Moaning endlessly and champions of spewing utterly ignorant 💩 at all times. Displaying the dangers of a third world education End of.
43 Go to commentsSouth Africa and Rassie do a phenomenal job of treating the 4 years in between World Cups as nothing more than a training exercise to build squad depth. The Six Nations money that keeps Irish rugby afloat is unfortunately too important to allow the same approach, and basic population size means we'll never get close to matching the depth of South Africa, England and France. That being said, Irish rugby is in a relatively good place and slowly improving inch by inch. If the other three provinces can pull the finger out and actually develop some players it'd be even better.
43 Go to commentsGood on Clarke for taking on the criticism and addressing his deficiencies, principally his laziness.
2 Go to comments“It is the people’s favourite against the actual favourite. It is the people’s champions against the actual champions. I’m joking, but it’s going to be a fantastic series.” Why did Darcy make that joke knowing it would be used as click bait? Why did RP headline it as a serious comment? Anyway, the tired comment isn’t very astute. SA players may have played more games etc. Darcy over estimated as a pundit.
43 Go to commentsNot sure Frisch will ever make the French team with Depoortère and Costes waiting in the wings to take over from Danty and Fickou.
1 Go to commentsThe Irish are tired and the Boks are old. The test series won't confirm who is best in the world, it will confirm which team needs to pursue the task of rebuilding with the most urgency.
43 Go to commentsGrant, the first time I have seen an article written by you. Maybe I have missed your previous stuff. These days all professional players effectively play a common season so all top players are equally tired, or rested. That is the job of the coaching ticket to build squad depth and juggle resources so players are ‘ fresh’ when the big games come. Possibly Ireland are less inclined to juggle squad compared to Rassie, who is prepared to take the risk to rest players as well as build depth throughout the year so come WC he has a full squad, experienced and rested enough to win 7 games. After all, to win WC you need to get through the tournament and then win the final big 3 games. Ireland should try and build a bit so come final 3 they are ready. So far only played final 1(QF). I am so looking forward to the Irish tour. Hopefully Rassie has enough time to align his guys, as he draws them from across the globe, and not from 2 sides locally( eg Leinster, Munster). No excuses, going to be exciting.
43 Go to commentsIn football, teams get fined and sometimes docked points for deliberately fielding weakened teams yet Leinster can pretty much do as they please with no comebacks. Could it be because Ireland run the URC? Could it be that Ireland run the ERC? Whichever it is, it stinks!!
6 Go to commentsIreland are only the People’s Champions in Irish eyes. The rest of the world do not care for them very much because of attitudes of people like Gordon, Ferris, Best, Jackman…I could go on!!
43 Go to commentsNot sure how Karl Dickson can ever ref a Quins game, he played for the club for 8 years as understudy to Care and is still close friends with half the team
3 Go to commentsAre bookies taking bets on how many times Vunipola's eventual statement will use the term “elders"? My money is on at least 4 times.
4 Go to commentsSo Ireland will be tired, despite having the most rested test squad in the world. They only play tests, champions cup and urc play off games ffs! Case in point; Leinster sent a B squad to SA for their last two games while their first xv rested up and trained at their leisure for the sf vs Saints at the so called ‘neutral venue’ of Croke Park. So tired? Do me a favour… And as for “people’s champions”? Seriously??? Outside of Ireland they are respected for their ability to win 6N. And of course plenty of inconsequential test friendlies without any real pressure. WC ko games when the pressure is white hot? Not so much…
43 Go to commentsSurprising how standing down or benching a player can do wonders for their motivation. Several players this week in that category.
2 Go to commentsHaha lads lads lads, that’s how you have a holiday In Majorca
4 Go to commentshit on Lynagh was defo late and card-worthy. The other 2 are bang on OK. Hurts you at Test level if youre timing is off and the nostrils are flared. Jerry C knew when to lean in on one, Finau just needs to keep his discipline and head straight.
7 Go to comments