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WRU statement: Welsh clubs strike a deal to refinance £20m loan
The Welsh Rugby Union (WRU) have reached a refinancing agreement with the Welsh Government, replacing the UK Government Coronavirus Large Business Interruption Loan Scheme (CLBILS) emergency loan secured in October 2020. The CLBILS was repayable over the maximum three-year term permissible – but a new agreement effectively spreads repayments over 20 years.
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At the height of the pandemic, the £18million CLBILS loan was combined with another £2m of funding secured from World Rugby, resulting in £20m being available to the four regions. The Professional Rugby Board (PRB) unanimously approved the initial loan and further agreed to distribute the funds according to the needs of each region. Cardiff received £5m, the Dragons £4.5m, the Ospreys £5m and the Scarlets £5.5m.
Speaking about the revised repayments, Welsh CEO Steve Phillips said: “The CLBILS arrangement was the right thing to do at the right time and ensured our professional game survived the pandemic. The pandemic had a catastrophic impact on the sports sector and it was vital at the time that we moved quickly to secure funding.
“We have been hugely grateful to Welsh Government for their support throughout the pandemic and their significant help in creating much more manageable repayment terms, as we seek parity for our regional sides with their peers. We must also extend our thanks to NatWest for both their initial support in providing the CLBILS loan and the pragmatism they have shown in helping facilitate the refinance.”
All CLBILS loans carried a three-year repayment term and though the loan was passed on to the regions with the same terms, the WRU has been paying the quarterly instalments directly whilst seeking to renegotiate more favourable, manageable terms for the four professional sides. The new loan arrangement is directly with Welsh Government and allows for more flexibility, including the extended term.
“Following the challenges of the previous two years the Welsh Government has stepped in to provide the WRU with a long-term £18m repayable loan to help it refinance a shorter-term coronavirus loan it took out during the pandemic,” said Dawn Bowden, Deputy Minister for Arts and Sport. “This financial support will help to secure the ongoing success of rugby and the regional game in Wales.”
The CLBILS has now been refinanced with a new Welsh Government loan and will be repayable in equal quarterly instalments by 2040. The WRU has also negotiated a deferment of the further £2.0m of World Rugby funding. This has enabled the full £20m that was lent to the regions to now be extended to a 20-year term, so capital repayments will now be paid over 20 years, a significant improvement on the previous three-year term.
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“There is no doubt that support from Welsh Government has helped the survival of the professional game in Wales throughout the pandemic. We now have the opportunity to build for a new era,” said Nick Garcia, the Ospreys CEO.
“We survived the global pandemic but there is still a lot of hard work ahead for the professional game in Wales and we know we must work together to create the conditions in which we can both survive and be successful,” said Simon Muderack, chair of the Scarlets.
“The repayment terms on this funding are now greatly improved as we now look to building a brighter future for regional rugby in Wales,” added Dragons chair David Buttress.
“We are hugely grateful to Welsh Government for their support and to all involved in renegotiating the terms of the loan, the next step is to move beyond survival to success both on and off the pitch,” said Alun Jones, chair of Cardiff rugby.
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Comments on RugbyPass
This just proves that theres always a stat and a metric to use to justify your abilities and your success. Ben did it last week by creating an imaginary competition and now you did the same to counter his argument and espouse a new yardstick for success. Why not just use the current one and lets say the Boks have won 4 world cups making them the most successful world cup team. Outside of the world cup the All Blacks are the most successful team winning countless rugby championships and dominating the rankings with high win percentages. Over the last 4 years statistically the Irish are the best having the highest win rate and also having positive records against every tier 1 side. The most successful Northern team in the game has been England with a world cup title and the most six nations titles in history. The AB’s are the most dominant team in history with the highest win rate and 3 world cups. Lets not try to reinvent the wheel. Just be honest about the actual stats and what each team has been good at doing and that will be enough to define their level of success.
16 Go to commentsHow is 7’s played there? I’m surprised 10 or 11 man rugby hasn’t taken off. 7 just doesn’t fit the 15s dynamics (rules n field etc) but these other versions do.
7 Go to commentsPick Swinton at your peril A liability just like JWH from the Roosters Skelton ??? went missing at RWC
14 Go to commentsLike tennis, who have a ranking system, and I believe rugby too, just measure over each period preceding a world cup event who was the longest number one and that would be it. In tennis the number one player frequently is not the grand slam winner. I love and adore the All Blacks since the days of Ian Kirkpatrick when I was a kid in SA. And still do because they are the masters of running rugby and are gentleman on and off the field - in general. And in my opinion they have been the majority of the time the best rugby team in the world.
16 Go to commentsHaving overseas possessions in 2024 is absurd. These Frenchies should have to give the New Caledonians their freedom.
21 Go to commentsBell injured his foot didn’t he? Bring Tupou in he’ll deliver when it counts. Agree mostly but I would switch in the Reds number 8 Harry Wilson for Swinton and move Rob Valentini to 6 instead. Wilson is a clever player who reads the play, you can’t outmuscle the AB’s and Springboks, if you have any chance it’s by playing clever. Same goes for Paisami, he’s a little guy who doesn’t really trouble the likes of De Allende and Jordie Barrett. I’d rather play Carter Gordon at 12 and put Michael Lynagh’s boy at 10. That way you get a BMT type goalkicker at 10 and a playmaker at 12. Anyways, just my two cents as a Bok supporter.
14 Go to commentsThanks Brett, love your articles which are alway pertinent. It’s a difficult topic trying to have a panel adjudicating consistently penalties for red card issues. Many of the mitigating reasons raised are judged subjectively, hence the different outcomes. How to take away subjective opinions?
4 Go to commentsYes Sir! Surprising, just like Fraser would also have escaped sanction if he was a few inches lower, even if it was by accident that he missed! Has there really been talk about those sanctions or is this just sensational journalism? I stopped reading, so might have missed any notations.
4 Go to commentsAI is only as good as the information put in, the nuances of the sport, what you see out the corner of the eye, how you sum up in a split second the situation, yes the AI is a tool but will not help win games, more likely contribute to a loss, Rugby Players are not robots, all AI can do if offer a solution not the solution. AI will effect many sports, help train better golfers etc.
45 Go to commentsIt couldn’t have been Ryan Crotty. He wasn’t selected in either World Cup side - they chose Money Bill instead. And Money Bill only cared about himself, and that manager he had, not the team.
26 Go to commentsYawn 🥱 nobody would give a hoot about this new trophy. End of the day we just have to beat Ireland and NZ this year then they can finally shut up 🤐
16 Go to commentsTalking bout Ryan Crotty? Heard Crotty say in a interview once that SBW doesen't care about the team . He went on to say that whenever they lost a big game, SBW would be happy as if nothing happened, according to him someone who cares would look down.. Personally I think Crotty is in the wrong, not for feeling gutted but for expecting others 2 be like him… I have been a bad loser forever as it matters so much to me but good on you SBW for being able to see the bigger picture….
26 Go to commentsThis sounds like a WWE idea so Americans can also get excited about rugby, RUGBY NEEDS A INTERNATIONAL CALENDER .. The rugby Championship and Six Nations can be held at same time, top 3 of six nations and top 3 of Rugby championship (6 nations should include Georgia AND another qualifying country while Fiji, Japan and Samoa/Tonga qualifier should make out 6 Southern teams).. Scrap June internationals and year end tours. Have a Elite top six Cup and the Bottom 6 in a secondary comp….
16 Go to commentsThe rugby championship would be even stronger with Fiji in it… I know it doesen’t fit the long term plans of NZ or Aus but you are robbing a whole nation of being able to see their best players play for Fiji…. Every second player in NZ and AUS teams has Fijian surnames… shame on you!!! World rugby won’t step in either as France and England has now also joined in…. I guess where money is involved it will always be the poor countries missing out….
84 Go to commentsNo surprise there. How hard can it be to pick a ball off the ground and chuck it to a mate? 😂
2 Go to commentsSometimes people just like a moan mate!
4 Go to commentsexcellent idea ! rugby needs this 💪
16 Go to comments9 Brumbies! What a joke! The best performing team in Oz! Ditch Skelton for Swain or Neville. Ryan Lonergan ahead of McDermott any day! Best selection bolter is Toole … amazing player
14 Go to commentsI like this, but ultimately rugby already has enough trophies. Trying to make more games “consequential" might prove to be a fools errand, although this is a less bad idea than some others. Minor quibble with the title of the article; it isn’t very meaningful to say the boks are the unofficial world champions when it would be functionally impossible for the Raeburn trophy not to be held by the world champions. There’s a period of a few months every 4 years when there is no “unofficial” world champion, and the Raeburn trophy is held by the actual world champions.
16 Go to commentsIts a great idea but one that I dont think will have a lot of traction. It will depend on the prestige that they each hold but if you can do that it would be great. When Japan beat the Boks (my team) I was absolutely devestated but I wont deny the great game they played that day. We were outclassed and it was one of the best games of rugby I have seen. Using an idea like this you might just give the the underdog teams more of an opportunity to beat the big teams and I can absolutely see it being a brilliant display of rugby. They beat us because they planned for that game. It was a great moment for Japan. This way we can remove the 4 year wait and give teams something to aim for outside of World Cup years.
16 Go to comments