Copy pasted:
http://www.rugbynetwork.net/boards/read/s99.htm?101,12364740
Nearly £20m lost between 10 clubs (bare in mind Wasps lost a good few million the season before and only the East Midlands giants making any profit) is appalling.
Granted that Saracens have lost 42.8% of all the competitions downturn of the figures we know (luckily for Nigel Wray, the population likes Dominoes Pizza!), but while these sort of figures are small beer compared to soccer the market is a fraction the size.
Either emphasis is put on and allowing the clubs to grow - Removal of stangulation via the salary cap, ending the mid season test series which detracts from the vital "bums-on-Seats" statistic, sensible allocation of TV rights and kick-off times, stronger promotion of the junior echelons, less constant emphasis on England, the rapid and final destruction of the BBC etc. otherwise the lifeblood level of the sport will collapse in on itself and everything goes to **** once Sarries, Irish, Sale, Newcastle, Worcester and Quins have gone belly up.
The only teams likely to still be strong in a few years time if that continues are Tigers and Saints (who made money), Gloucester (who normally turn a small profit) and Bath (who can absorb an costs thanks to the new sugar daddy). Everyone else is fooked.
http://www.rugbynetwork.net/boards/read/s99.htm?101,12364740
Sarries lost nearly equal to their own turnover is the most shocking figure. That bubble has to burst and there has to be more emphasis from the union to increase the club gate.Brian Kennedy stated in a recent interview that rugby was going broke. Looking at the numbers below he seems to have a point. Only ourselves and Leicester made a profit last season (I'm assuming Wasps didn't as they lost over £2m the previous year). If the money men pull out of the loss making clubs, then we won't have a premiership. Over £16m in losses (plus £2m? for Wasps) = £18m+. The recession hasn't helped but that's still going to be a big number at the end of this season. Time for the RFU to step in with more funding?
2009-2010
Club Turnover Profit/Loss
Leicester £18,489,000 £284,000
Saracens £6,929,102 -£6,401,086
Gloucester £9,360,891 -£562,540
Saints £12,032,507 £566,401
Irish £7,547,574 -£2,088,841
Quins £11,300,113 -£1,315,051
Barf £8,832,271 -£1,256,560
Wasps not filed yet
Exeter £4,622,608 -£76,967
Sale £7,948,703 -£1,581,148
Leeds £3,725,671 -£1,631,783
Newcastle £6,199,908 -£1,473,091
Nearly £20m lost between 10 clubs (bare in mind Wasps lost a good few million the season before and only the East Midlands giants making any profit) is appalling.
Granted that Saracens have lost 42.8% of all the competitions downturn of the figures we know (luckily for Nigel Wray, the population likes Dominoes Pizza!), but while these sort of figures are small beer compared to soccer the market is a fraction the size.
Either emphasis is put on and allowing the clubs to grow - Removal of stangulation via the salary cap, ending the mid season test series which detracts from the vital "bums-on-Seats" statistic, sensible allocation of TV rights and kick-off times, stronger promotion of the junior echelons, less constant emphasis on England, the rapid and final destruction of the BBC etc. otherwise the lifeblood level of the sport will collapse in on itself and everything goes to **** once Sarries, Irish, Sale, Newcastle, Worcester and Quins have gone belly up.
The only teams likely to still be strong in a few years time if that continues are Tigers and Saints (who made money), Gloucester (who normally turn a small profit) and Bath (who can absorb an costs thanks to the new sugar daddy). Everyone else is fooked.