Rugby clubs to hold crisis meeting

Saracens owner Nigel Wray today revealed England's top clubs will hold a crisis meeting on 16 January as they hurtle towards combined losses of £100m in the first five years of professional rugby.

The meeting will confirm that the First Division clubs are to instigate Rob Andrew's plan for next season which includes only a promotion play-off opportunity for the top Second Division team.

The Rugby Football Union has been attempting to solve the relegation issue all season and appointed a facilitator in a bid to end the row.

However, the First Division clubs will forge ahead no matter what the consequences.

Wray said: "This is not a break away from the RFU. We are just going to make sure that we have in place the necessary structure and plans to allow the game to establish an investment strategy.

"At present, every club, except maybe Leicester, will be losing £1.5m or more this season and we have been taking those kind of losses for nearly five years without any long-term agreement over playing the game in this country.

"At the same time, the clubs have enabled England to become a successful international side with the RFU making millions from gate receipts - none of which comes to the clubs. It is absurd for the clubs to be producing those players while sustaining huge losses while the parent body is reaping a massive profit."

The clubs are eyeing the coming round of negotiations for a new rugby television contract as one way of ring fencing financial support if they take control of the league season. Sky paid £87.5 million for all of England's home international matches and the club rugby coverage.

Any new contract will be substantially higher and the clubs, who were promised £1.8m each by the RFU this season, need to find a way of guaranteeing financial backing.

The RFU has yet to pay that money because the row over promotion and relegation has not be solved leaving Sale and Rotherham in real financial problems.