Another Stay of Execution for London Irish
RFU grants a week's extension to deadline for takeover to complete
The club plays its home fixtures at the GTech Community Stadium in Brentford. Picture: London Irish
June 1, 2023
There was a last-minute stay of execution for London Irish as the Rugby Football Union (RFU) did not follow through on its threat to suspend the club from next season’s competitions.
It is understood that the decision was taken at the urging of players and staff who wanted to give every chance for a prospective takeover to be completed despite only being paid half of their salaries for the month of May.
Current owner Mick Crossan had agreed to pay 50% of what is owed with the balance arriving once an American consortium had acquired the club. RFU Club Financial Viability Group said it was ‘extremely disappointed’ that payroll had not been honoured in full but that it must ‘respect the wishes’ of players and other staff.
The new deadline, which the RFU is insisting is final, is 4pm on Tuesday, 6 June. The takeover must be completed by this time or whoever owns the club must provide evidence that they can cover the club's operating costs for the entire 2023-24 season. In addition, the May payroll must be met in full.
Failure to do so would mean suspension from RFU competitions including the Premiership which would effectively mean the Exiles would fold. The RFU is insisting on a hard deadline to avoid a mid-season insolvency having seen fixtures this year disrupted by the collapse of Wasps and Worcester Warriors.
Paula Carter, RFU Board Member and Chair of the Club Financial Viability Working Group said, “It is deeply frustrating for all the staff, players and fans that there have been multiple missed deadlines.
“We are extremely disappointed that the club has so far only funded 50% of the staff and player wages, however, we have to respect the wishes of those most affected.
“The 4pm deadline on 6 June is final and we have added the stipulation that the club must also fulfil its contractual obligations to its employees by paying the May salaries in full.”
London Irish made no comment other than to publish the statement of the RFU Club Financial Viability Group on its web site in full.
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