Rugby may take a generation to recover from coronavirus crisis, says IRFU chief
The Irish Rugby Football Union has “hit a revenue cliff” according to chief executive Philip Browne, who says cash reserves have “dried up” and that without Government support it could now “take a generation” to get sport back on its feet in Ireland.
Browne warned there would be €15-20 million loss of revenue if the postponed final two rounds of the 2020 Six Nations did not go ahead this year due to the Covid-19 pandemic — and a €30m loss if the 2021 tournament was also ruled out.
He added that if if all those Six Nations fixtures, and the November Tests against South Africa, Australia and Japan, ended up going ahead behind closed doors, massive losses would still incur — €10-15m this year and €16m in 2021.
“The levels of financial loss being encountered by all sporting organisations is catastrophic and rugby is no exception,” Browne said. “It is not sensationalist to suggest that without Government financial support sport will take a generation to get back on its feet, leaving an enormous void at the heart of communities throughout the land.”
The IRFU has managed to bank roughly £5m of the £30m it will gain from the Pro14's tie-in with CVC Capital Partners, which Browne described as a “positive”. But he said the union’s reserves were still likely to run out in “a matter of months”.
The only solution, he added, was “playing competitive revenue-generating matches as soon as we possibly can”.
"We have hit a revenue cliff, there is no revenue coming into the provinces of any material amount and the IRFU's revenues have dried up,” Browne said. "What we have to do is get back playing competitive revenue-generating matches as soon as we possibly can. Our cash is likely to run out in a matter of months if we don't get revenue-generating fixtures.”
The IRFU is targeting the weekend of August 22/23 for a return to competitive fixtures, with interpros scheduled for the Aviva Stadium. But that will depend on the Irish government's roadmap to return. Rugby has been placed after GAA on that roadmap.
Browne referred to the likelihood of “radical actions” being taken unless there was “some light at the end of the tunnel” soon.
Rugby Players Ireland having already agreed to salary deferrals, with Browne envisaging further effects globally on player salaries and further conversations with the players’ body.
"We need to actually start,” Browne added. “We need to actually get playing. And part and parcel of the assumption of starting on the 22nd 23rd of August, is the assumption that we're going to be playing international rugby at the end of October, November”.
Meanwhile, it appears unlikely England head coach Eddie Jones will return to the United Kingdom before new quarantine rules are introduced on June 8. Jones has opted to remain in Japan where he has been with his wife since before the UK Government introduced the lockdown in March.
The Government has announced that from June 8 any visitors will have to self-isolate for 14 days upon their arrival in the UK. That legislation is due to be reviewed after three weeks.
Jones has been using video technology to continue his work in Japan and with England’s two-Test tour to Japan in July having been postponed because of the travel restrictions and social-distancing measures, the RFU is thought to be relaxed about the situation.
Matt Proudfoot, Jones’s forwards coach, is also currently out of the country, visiting family in South Africa. He said earlier this month that he would return to his London home in Barnes as soon as the respective governments eased travel restrictions between countries, acknowledging that he would serve a 14-day quarantine period on arrival at Heathrow if that were to be required.
“We are not confirming travel plans but will ensure all coaches are back in sufficient time to be available when international rugby resumes,” said an RFU spokeswoman.
