Phil Dowson, director of rugby at Northampton, has expressed deep concern that English rugby is “sleepwalking” towards another financial disaster. He supports proposals for transforming the Premiership into a franchise-style league, arguing that such a system would be more attractive to potential investors and provide greater financial stability across the sport.
Currently, Premiership Rugby and the Rugby Football Union are exploring plans to expand the league through a franchise model. This would involve allowing new teams to join the current ten top-flight clubs, provided they meet specific financial and infrastructural criteria. A significant shift in the model would include the official scrapping of relegation, a move that has been informally in place since Saracens were demoted for salary cap breaches in 2020.
This season, there was a possibility of a relegation playoff between the bottom Premiership club and the top Championship side, but only Doncaster Knights met the eligibility criteria and they have already fallen out of contention for the second-tier title. With Newcastle languishing at the bottom of the Premiership and reportedly needing financial assistance from other top-flight clubs to stay afloat, the fragility of the league’s financial foundations has once again come into sharp focus.
Dowson, who has previously played for both Worcester and Newcastle two clubs that have struggled financially warns that the current state of the game is unsustainable. He highlights that losses are widespread, not just at the club level but also among national unions. Financial reports show major deficits across the board, with the RFU reportedly losing £35 million, Australia Rugby suffering a $36 million shortfall, and clubs like Gloucester, Bath, and Northampton also posting significant losses. Northampton themselves reported a £1.7 million loss last year, which was considered a positive outcome because it was less than the projected £2.7 million deficit.
According to Dowson, this ongoing financial instability is alarming and could lead to further club collapses like those of Worcester, Wasps, London Irish, and Jersey. He believes the current promotion and relegation system deters investment due to the risks involved, drawing a comparison with football where clubs promoted to the top tier often struggle to remain there. In his view, removing relegation could create a safer environment for investors, offering clubs a firmer financial footing and enabling them to plan more strategically.
While Dowson acknowledges that the idea of promotion and relegation aligns with traditional sporting ideals, he suggests that the reality of the current financial climate necessitates a more pragmatic approach. In his view, securing the immediate survival of clubs and stabilising the league should take precedence. He admits the situation feels like a temporary fix “putting fingers in holes” but insists that some hard decisions need to be made to avoid further financial ruin.
In other team news, Northampton have been dealt a blow with the confirmation that fullback George Furbank will miss the Champions Cup semi-final against Leinster. Furbank, who had returned from a broken arm during the quarter-final against Castres, suffered a setback and is struggling to resume full contact training. His absence could also jeopardise his chances of being selected for the British & Irish Lions squad or the England summer tour.
Dowson noted that Furbank’s return is uncertain and will be evaluated week by week. Despite his toughness, the injury remains painful and the club is cautious not to aggravate it. His availability for the summer tours remains up in the air, pending medical assessments.
