ERC Millenium Stadium Rugby 2013Updated Story: Rugby Leaders Remain Apart

An end game in the saga of the future of the Heineken and Amlin Challenge Cups appears to be drawing closer with the English and French clubs issuing a statement yesterday that will effectively create a new competition structure along the lines they have been pushing over the past 18 months.

The aggressive nature of making the announcement through the clubs rather than the official Rugby unions, and on the eve of a scheduled board meeting of European Rugby Cup Limited suggests that there is now little prospect of ‘tinkering’ around the edges of the tournaments that have served the sport, and particularly the Irish provinces well since its formation in 1995.

The clubs have proposed two new competitions, built on the same foundation as is presently the case but limited to 20 teams in each, as opposed to 24, and with a different qualification process that will be based more on merit than the current blend of merit and quota.

The new competitions will be backed by a TV deal signed with BT Sport and it may be that there will be a new sponsorship structure such as is employed within the UEFA Champions’ League that allows for 8 main sponsors rather than one overall brand.

The Clubs have suggested the competitions will be open to clubs from all countries but that there will be a time limit on indicating participation prior to a draft schedule being produced for the 2014-2015 season.

The statement from the English Clubs released yesterday read:

“The 2013-14 Aviva Premiership Rugby season kicked off this weekend with our clubs having no clear view of new European competitions from next season onwards.

“The current European Rugby Cup (ERC) competitions terminate at the end of this season after notice was served by the English and French clubs in June 2012.

“Despite numerous meetings between the stakeholders over the last year, the last of which was in May, discussions have been unsuccessful and the clubs can only conclude that negotiations on any new European agreement have now ended.

“The English and French clubs have proposed the formation of two new, stronger competitions of 20 teams each, based on the principles of qualification on merit from each league, the inclusion of teams from all six existing countries and the expansion into new markets. These proposals could form the basis of future competitions.

“However, given the importance and urgency of the current position, and the reconfirmation that the French clubs will not participate in any competition unless it includes the English clubs, the clubs have now asked Premiership Rugby to take immediate action to put in place a competition for 2014-15 to include the French and English clubs but which will also be open to teams from other countries.”

The ERC responded last night with their own statement which read:

“All parties involved in the ongoing consultation process aimed at formulating a new accord which will provide for the structure and format of European club rugby tournaments for the 2014/15 season and beyond will be represented at a scheduled meeting of the ERC board in Dublin tomorrow.

“While there is a shared sense of frustration among ERC’s stakeholders at the lack of progress towards a new accord, the meeting will provide an opportunity for the parties to review the consultation process to date.

“The current accord, which was agreed by all stakeholders in 2007, includes a two-year notice period which began on June 1 2012 to allow for negotiations towards the formulation of a new agreement.

“The structure and format of both the Heineken Cup and the Amlin Challenge Cup remain in place until the end of the 2013/14 season.”

With commercial and administrative structures already tried, tested and in place at ERC, it is entirely possible that the same organisation will end up being asked to take charge of the organisation of the new competition.

That may present difficulties with existing contracts in place with Sky Sports that would appear to be in conflict with the English club deal with BT Sport.

There is little prospect though of English Rugby looking to take on the mantle at a time when it is commercially and administratively focused on the hosting of the 2015 Rugby World Cup.

The challenges within Club rugby echo the power struggles that existed, and the tensions which remain, between clubs and governing bodies in Soccer. It has to be said though that the compromise and subsequent progression of European club soccer through different formats from a straight knockout competition of Champions’ towards the current format has been very good for the strength of the game and the clubs.

The question facing Irish, Scottish and Welsh rugby administrators in particular now is whether they want to have a smaller say in a potentially stronger competition or compete on their own.

There is really only one likely outcome of that debate and while it may not come as soon as today’s meeting, it will surely not be long before a new format is agreed and the commercial wheels begin to turn again in earnest.

 

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