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Wasps into administration

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billesleyexile View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote billesleyexile Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 08:43
Originally posted by dropout22 dropout22 wrote:

Originally posted by billesleyexile billesleyexile wrote:

Originally posted by Richard Lowther Richard Lowther wrote:

Various message boards rumours about another club in difficulties. 


Those of us who also frequent the RL message boards might well be aware of one that's been bubbling away for months.

A league or union club?

Union.
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Post Options Post Options   Thanks (1) Thanks(1)   Quote billesleyexile Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 08:52
Originally posted by Marylebone Marylebone wrote:

Good point - but all of those clubs have survived and are still playing at various leagues. The make up of the top flight has radically changed. There is a common thread amongst the fallen giants: selling their grounds and not having a feasible replacement and/or the benefactors pulled out. 

When Dai Duckham’s Coventry and Sam Doble’s Moseley were the best teams in the country, Exeter, Saracens and Worcester were way down the league structure.

I get that, but the line of argument would perhaps have been better expressed as 'we don't want to lose these top table clubs from the top table.' The idea of working back up nine levels as some of the above have done isn't something seen as a realistic option. Wasps have already moved to the West Midlands just to 'guarantee' top level rugby, when the right thing to do would have been to find their level like every other club in the country. It's the divine right to the top table, or entitlement, that stinks.
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Post Options Post Options   Thanks (1) Thanks(1)   Quote Richard Lowther Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 09:16
Originally posted by billesleyexile billesleyexile wrote:

Originally posted by Marylebone Marylebone wrote:

Good point - but all of those clubs have survived and are still playing at various leagues. The make up of the top flight has radically changed. There is a common thread amongst the fallen giants: selling their grounds and not having a feasible replacement and/or the benefactors pulled out. 

When Dai Duckham’s Coventry and Sam Doble’s Moseley were the best teams in the country, Exeter, Saracens and Worcester were way down the league structure.

I get that, but the line of argument would perhaps have been better expressed as 'we don't want to lose these top table clubs from the top table.' The idea of working back up nine levels as some of the above have done isn't something seen as a realistic option. Wasps have already moved to the West Midlands just to 'guarantee' top level rugby, when the right thing to do would have been to find their level like every other club in the country. It's the divine right to the top table, or entitlement, that stinks.

On the last point exactly. The top players will generally play for the top division clubs. It doesn't matter if its Harlequins or Harrogate, Wasps or Wheatley Hills in the top flight because they would sign up the top players and whilst England will only select from Premiership clubs it matters even less. 

I suspect that if the worst happened to Wasps, we would see a 'merger' with the old Wasps FC and a 'restart' from that clubs league position rather than a start from the bottom again. 
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Post Options Post Options   Thanks (1) Thanks(1)   Quote Steve@Mose Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 09:39
Bristol owner calls on Premiership Rugby to generate more revenue

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Bristol Bears owner Steve Lansdown says Premiership Rugby (PRL) must do more to increase revenues to help financially-struggling clubs.

Wasps gave notice on Wednesday that they intend to appoint administrators.

Meanwhile, Worcester have until Monday to prove they can keep going.

"What PRL need to do is to really focus on commercial revenue or generating new revenue, and improving the offering that we get out there to attract other investors into the sport," he said.

Clubs have more than £500m of debt following the Covid-19 pandemic and owe around £35m between them to His Majesty's Revenue and Customs (HMRC).

Or try living within your means.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Camquin Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 09:50
They cannot live within their means and compete with the top French clubs - who have twice the income.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote oldman Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 09:56
Why do they need to compete with the French clubs? Drop the European cup, increase the size of the premiership and just play English clubs. One salary cap a level playing field. Or is this to simple?
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Post Options Post Options   Thanks (1) Thanks(1)   Quote billesleyexile Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 10:52
because without Europe wide action, the French will just hoover up the English talent?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Richard Lowther Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 11:25
Originally posted by oldman oldman wrote:

Why do they need to compete with the French clubs? Drop the European cup, increase the size of the premiership and just play English clubs. One salary cap a level playing field. Or is this to simple?

That is the $64,000 question. They want to compete with the French and win the European Challenge Cup as it seen asthe pinnacle of the club game in Europe, and with it I expect it is meant to bring financial rewards. I suspect in reality it doesn't bring in all that much in context.  Being champions may help them recruit a player or two but then again you are back in the circle of hell in that you are probably having to pay over the rates to get those players. 

It would be interesting to know if attendences for the European games are higher than the Premiership. 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Richard Lowther Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 11:29
Originally posted by billesleyexile billesleyexile wrote:

because without Europe wide action, the French will just hoover up the English talent?

No. The French sensible have JIFF (I think thats the acroymn) that means they have to field so many French qualified players, which in effect relegates their need for English players - South Africans and Pacific Islanders are cheaper to meet their cap and All Blacks are a better 'publicity tool'. 

The Premiership clubs already have the rule that stops England from picking players from outside of the top flight to negate the impact of players moving abroad, so it is a non issue really. 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Big Eddie Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 12:04

Premiership attendance table for last season and this season is very revealing


Edited by Big Eddie - 22 Sep 2022 at 12:05
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Runitback Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 12:08
This is a very sorry saga and I feel for the staff, players, suppliers and supporters. Rugby finances are a mess at the top of the game. Rugby just does not have enough television pull to attract the level of sponsorship it requires.

If businesses continue to make losses year after year then unless they have a ridiculously generous benefactor they deserve to go out of business . . its simple. Premiership rugby for most is simply unsustainable  . . rugby has to find a level that it can afford.

I greatest worry is that CVC are waiting in the wings ready to pounce and get control of the Premiership and six nations . . . then god only knows what they will do to the game!!!

Ultimately live within your means and if you cannot find a level that you can.


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Post Options Post Options   Thanks (0) Thanks(0)   Quote Big Eddie Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 12:17
Runitback,

that is the very essence of the issue. Rugby Union is a minority sport in the UK and other than the jingoism of the international game its television audience is very small. Can the audience and the revenues be grown as Stephen Lansdown is calling for? 

Personally I doubt it, the concussion issue and the complexity of the sport very much mitigates against it.

The future isn't bright or orange 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote jimbojetset Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 12:24
Professional Rugby has been living in a fantasy world since professionalism kicked in. The fact that seemingly intelligent people are repeating the same mistakes over and over again is a more than worrying. 

As much as it pains me to say it. Football in England is King and rugby is just a lesser known royal who is only recognised by people who are interested. Very few clubs are sustainable without a big spender or two who like their club more than their money. The problem goes all the way through the leagues with South Leicester and Old Elthamians just more recent examples of the lack of sustainability.

Clubs who own their own grounds (without mortgaging themselves to the hilt), have off field revenue and aren't in a rush to get to the top by spending heavily are more likely to be sustainable, but, only more likely, not guaranteed.

What I would say, is that any one individual or group of individuals who purchase a professional sports team better have lots of spare cash to lose, because most of those teams only function with a big spender somewhere throwing cash at them.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote jimbojetset Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 12:28
Originally posted by Big Eddie Big Eddie wrote:

Runitback,

that is the very essence of the issue. Rugby Union is a minority sport in the UK and other than the jingoism of the international game its television audience is very small. Can the audience and the revenues be grown as Stephen Lansdown is calling for? 

Personally I doubt it, the concussion issue and the complexity of the sport very much mitigates against it.

The future isn't bright or orange 

I was thinking about that very thing yesterday, then I happened to watch a college (American) football game with 60,000 people in attendance. American Football is one of the most complex of sports and has a huge following with big names etc well outside the NFL. I think a bigger issue is, we've got too many sports on a weekend trying to grab everyone's attention and cash. And the vast majority of rugby supporters are probably at their own grassroots club or playing for their local team which all KO at 2/3pm on a Saturday.... Just take Sale Sharks, how many grass roots teams are kicking off at exactly the same time as them with a few hundred people watching/playing at every club in the North West
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Big Eddie Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 13:03
I completely agree Jimbo Lad
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Halliford Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 15:11
Good point, Jimbo! Go back 30 years and there were more teams playing every Saturday but the top Clubs had smaller gates. Professionalism required bigger incomes hence bigger gates. Gates grew up to the Pandemic while at the same time adult player participation fell. To me that suggests a finite level of interest in rugby that can be satisfied either by playing or by watching. I did go to Quins matches for a few seasons when I didn't want to travel to away matches and it was interesting to see how many of the crowd were of playing age, probably 25% in those days. 

Growing rugby overall as a sport is what is needed but that is a very difficult task. Playing participation up to the age of 16 seems to be healthy and is seen as beneficial but big Mini numbers don't translate to big adult playing numbers, or even spectator numbers.

IMHO Wasps made a mistake in leaving West London and I have never been convinced by their business model.

Just on another note, I am delighted that my Club does own its own ground and so may have a stronger Balance Sheet than other Clubs but revenue is still hard to come by and 1st XV success still depends on individuals signing up for sponsorship which, given the returns they get, is largely a corporate donation. The biggest return is, of course, tickets to England matches and striking a balance between tickets for sponsors and tickets for members is a major discussion issue.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote islander Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 16:00
Was reading about Roger Federer's retirement after this weekend's Laver Cup, a sort of Ryder Cup for tennis. Federer has been heavily involved in founding and promoting the event, which is sanctioned by the ATP. The regulations required players to play both singles and doubles in order to take part, but as Federer is carrying an injury he suggested that he could play doubles and then retire, with a sub coming in for him in the singles over w/e. Because it's him, the change was agreed. Expect a similar moving of the goalposts in our sport regarding the regulation that a club must be relegated from the Prem if it enters administration...
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Big Eddie Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 16:13
Islander,

You may well be right. In the good old days when even football clubs like Manchester United were still small businesses they were supported by local benefactors gate income and sometimes a bank would provide loan capital. Even then banks were wary of lending to football clubs because it was extremely difficult to call in their loans.........they were fearful that the local community would all move their bank accounts to a rival.......and the football stadium had little alternative use value other than flattening and then building housing.

For political reasons the  DCMS will be somewhat concerned at a backlash from voters and they are very unlikely to get anything out of an Administration
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Camquin Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 17:55
There are around 75,000 people watching premiership rugby over a weekend - more if Saracens or Quins are playing in one of the large grounds.

I doubt there are 10,000 watching the Championship
I would be surprised if 6,000 watch the national leagues.
There may to 2,000 other matches, but again, I doubt if they get more than 40,000 spectators, though it is 80,000 players. For m any second team games, the only spectator was walking his dog.

There are probably more mums and dads in clubhouses on Sunday than fans watching on a Saturday. Though many of those would have been playing.


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Post Options Post Options   Thanks (0) Thanks(0)   Quote billesleyexile Quote  Post ReplyReply Direct Link To This Post Posted: 22 Sep 2022 at 18:04
Originally posted by Camquin Camquin wrote:

There are around 75,000 people watching premiership rugby over a weekend - more if Saracens or Quins are playing in one of the large grounds.

I doubt there are 10,000 watching the Championship
I would be surprised if 6,000 watch the national leagues.
There may to 2,000 other matches, but again, I doubt if they get more than 40,000 spectators, though it is 80,000 players. For m any second team games, the only spectator was walking his dog.

There are probably more mums and dads in clubhouses on Sunday than fans watching on a Saturday. Though many of those would have been playing.



totally agree with much of that, although I wonder if you're not a bit off for the national leagues - Mose had 1100 the other week which would mean we had slightly more than 1 in every six people watching at levels 3 and 4, which feels wrong instinctively. 
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