Meeting to find a survival plan for Welsh rugby
AS the nation endures more stringent coronavirus measures, rugby bosses are scheduled to meet this week to see how the Welsh rugby scene can withstand the challenges coming the way of Wales’ professional rugby sides.
The dominant emotion right now seems to be one of uncertainty.
Ahead of the meeting of the The Professional Rugby Board – the body responsible for running the pro game in Wales – one senior figure in Welsh rugby, who declined to be named given the sensitivities of the current situation said: “No one can say with confidence what’s going to happen.
“Let’s say at the outset that public health is the most important thing of all, and let’s hope that the virus abates sooner than expected, though I accept the signs are not exactly promising.
“The best-case scenario for rugby would be a lockdown for, say, the next three months. Maybe some kind of competition could be restarted in the summer, maybe not.
“Next season doesn’t have to look like a regular campaign.
“Circumstances may dictate otherwise, but just cancelling this term and rocking up in September, the medical crisis permitting, doesn’t seem a great option. I think we have to be creative and adapt as best we can to a very unique moment in time.”
And what of the worstpossible scenario for the regions?
“It could be devastating,” said the same source.
“But, again, much the same applies to everyone else. You have dramatically reduced income and you can’t pay your bills. What happens then? That’s not just rugby. It’s everyone.
“No one knows what the stakeholders in rugby are going to do. Is TV going to say they want a third of their money back or whatever the percentage is if the rest of this season is lost? Are sponsors going to say that they didn’t get full value because such and such a percentage of games didn’t take place?
“Broadcasting, advertising, sponsorship - there are so many variables and ways people could jump.
“Those stakeholders could say: ‘We understand what’s happened, we’re not going to try to claw back any money.’ “If that happens, great. “But it may not happen. “There’s also the insurance aspect. Are insurance companies going to say that professional rugby clubs are covered or not covered? All of us know that with any insurance policy there’s fine detail and it’s rarely straightforward. Those companies are going to be as stretched as the rest of us. “So it’s across the board. “But these are the kind of challenges facing us all.”
Next term could be affected in that supporters might be hesitant about buying season tickets in these uncertain times.
But let’s concern ourselves with today rather than tomorrow.
Income for the regions comes from WRU funds and from TV and competition money. There’s also the money Cardiff Blues, Dragons, Ospreys and Scarlets generate themselves from sponsorship, merchandise, hospitality and ticket sales.
No professional side in Wales exactly has cash to throw around at the best of times.
So, if any of the above sources of revenue starts to dry up, then there’s a potential for trouble.
Millions of pounds could be lost. People could lose jobs.
“If this drags on, pretty much everyone’s livelihood could be affected,” said another source in the game. But it’s not just rugby. It’s society in general. If no-one’s travelling, the airline and rail industries will take a hit. Rugby’s no different from other things. If matches are not being played, it’s potentially difficult, to say the least.”
It’s understood organisers of different northern hemisphere competitions are meeting to discuss the various scenarios that could unfold and flag up potential routes forward. But there are questions. Is it viable to plonk four postponed Six Nations fixtures into an already crammed autumn schedule? That will be one poser doubtless discussed in the knowledge that international rugby is so crucial to the funding of the professional game.
The incomplete league and cup programmes this term? Can they be salvaged or should they be scrapped? And how do the clubs and the regions manage?
In Wales, it will be fascinating to see how the PRB respond. “It’s hard to say what their strategy will be,” said the original source.
“Can they ease the situation as it affects Welsh professional rugby? Do they have a war chest? Whatever the potential solutions are, they need to be explored.
“I guess you need to get all relevant parties in a room and discuss how to take this forward. The government have a part to play, relating to things like VAT and PAYE. It’s not about something that can be looked at in isolation. It’s an across-the-board situation.
“What are HMRC going to do? Are they going to shut everyone down because they are not paying their bills because there’s no money? And so it goes on. “Where does it finish?” The bleak environment that’s our lot right now isn’t going to last for ever.
For sport, the challenges are, in their own ways, daunting from a business perspective.
But people recognise in wider society there are concerns on a completely different level. Eventually, this will end. In the meantime, it’s about getting through it. In that respect rugby is no different from every other beleaguered business right now.