Premiership Rugby chief executive Simon Massie-Taylor calls for tighter financial supervision to prevent more clubs from falling into financial crisis; The parent company of the Worcester Warriors went into liquidation and the Wasps is now on the verge of administration.
by James Cole
Last updated: 10/14/22 5:13 pm
Premiership Rugby chief executive Simon Massie-Taylor calls for tighter financial oversight
Premiership Rugby wants to introduce an independent regulator to oversee the finances of the clubs.
It comes amid a financial crisis in English rugby that has driven Worcester into bankruptcy, while the Wasps are on the verge of administration.
Both clubs have been suspended from the Premiership and are destined for relegation.
Premiership Rugby chief executive Simon Massie-Taylor is calling for tighter financial oversight to prevent more clubs from doing the same.
“The time is now, and we have to act quickly,” he said. “Everyone feels responsible for what’s going on. It’s hard not to take it personally.”
“We need to improve our governance and financial regulation to make sure we get the right investors and take these issues into account much sooner.”
Wasps’ management will be confirmed on Monday, with the club owing £2m to HM Revenue and Customs in unpaid taxes and a further £35m in bonuses.
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With this season’s Premiership now operating with 12 instead of 14 teams, there are concerns that other clubs are also in deep financial trouble.
“We haven’t gotten any red flags from the clubs, but until I have financial oversight, I can’t give a straight answer,” Massie-Taylor said.
PRL also wants to change the governance of the league to create a “more robust structure and governance model”.
The Premiership competition is currently run by Premiership Rugby (PRL) and its clubs, but is governed by the Rugby Football Union (RFU).
Any change in governance would require the approval of all top-tier clubs and the RFU.
Nigel Melville, who represents the Premiership clubs, said: “The time is right for a restart. I think there is a general feeling among the clubs that change is necessary to move forward.”
“Now we need to figure out what that change is and make sure it’s credible and works within the system.”
Administrators say talks continue for Worcester Warriors buyer
The Worcester Warriors have been suspended for the rest of the season from the Premiership and have been relegated to the Championship.
Begbies Traynor oversees the administration of the Worcester Warriors and acts as agent for WRFC Trading Limited.
The firm issued a statement on Friday highlighting the latest update regarding a possible acquisition.
“We are pleased to confirm that discussions are continuing with a number of stakeholders who remain focused on acquiring the Worcester Warriors with a view to re-establishing rugby at Sixways Stadium and developing world-class facilities and grounds around it to support rugby operations.
“We are not yet at a stage where we can enter into a preferred offer agreement, but we look forward to continuing discussions on this in order to achieve a sale in the timeframe necessary for a buyer to build a team in time for next season.”
Premiership Rugby chief executive Massie-Taylor added: “With Worcester, the focus is on finding a long-term solution for the club.
“It’s definitely still massively on our agenda. The administrator has made a lot of progress, one of the biggest results is the fact that the land [at Sixways] now it can be part of the package. Final offers will be received soon.
“It’s about making a good business solution, both on and off the field. It’s not going to be a quick fix.
“I think we have to understand the fact that Worcester, certainly in the short term, will be a different club,” he continued. “But he will have every opportunity to pick himself up again, and he should do it sustainably.”