[1] Steve Tew. A New Zealand Rugby Union review has recommended private ownership of the country's five Super Rugby franchises, a move that would result in a massive shake-up in the domestic game.
New Zealand's five franchises, the Blues, Chiefs, Hurricanes, Crusaders and Highlanders, are effectively owned by the NZRU but the organisation has decided that the financial model is broken.
The news comes hard on the heels of complaints by chief executive Steve Tew about the financial administration of the global game by the International Rugby Board, under which major rugby countries such as New Zealand and Australia are making big losses in World Cup years.
"We lose $13.2 million worth of revenue after income from Rugby World Cup and costs are adjusted. It cannot carry on..." Tew told a UK newspaper earlier.
He was speaking in the knowledge that the current model for the New Zealand domestic game cannot carry on and that plans are under way which could result in radical changes.
Tew last night confirmed in a written response to APNZ that an independent review of the structure of Super Rugby and the New Zealand franchises was commissioned earlier this year.
"A key priority for NZRU is ensuring professional rugby in New Zealand is financially sustainable," he said.
"A draft review has been sent to provincial unions and franchises for their feedback, before it is presented to the NZRU board for discussion.
"While the NZRU board has yet to make any decisions concerning the draft findings and recommendation, the draft report clearly recognises the financial realities of the game and suggests recommendations on the future governance, ownership and financial viability of Super Rugby.
"Given that we are in the middle of the review process and reviewing feedback from provincial unions on the draft findings, it would not be appropriate to speculate further on specific options or outcomes." APNZ understands that the review has recommended private ownership of the franchises.
If given approval, franchises could be owned by individuals in much the same way as professional rugby clubs are in Europe.
It is not a new concept in New Zealand. The New Zealand Warriors league club is owned by businessman Eric Watson, and the Phoenix Football Club was owned by the recently bankrupt Terry Serepisos, but it is a massive shift in thinking by the NZRU.
Until now the NZRU has kept a tight hold on the reins, in order to create a level playing field for the franchises. The main front-of-jersey sponsor has been the same for all New Zealand franchises since 1996 when the Super Rugby competition started.
The main reason for this was the fear that less successful franchises would not be able to raise the same sort of revenue for front-of-jersey sponsors as those with more on-field success, such as the Blues and Crusaders.
No comments:
Post a Comment