London Irish have been kicked out of England's top rugby competition. Photo: Phil Hutchinson
London Irish became the third rugby team to be thrown out of the English Premiership in eight months after the RFU said the club had failed by Wednesday's deadline to pay their players and prove they had a financially viable future.
The club had been given a week's extension to show evidence of a proposed takeover by an American consortium or that they had the finance in place under current owner Mick Crossan to continue through the 2023-24 season.
However, they failed to do so or to fully pay their players and staff by the deadline and the RFU duly announced that the club would not be able to participate in any league next season.
"The decision was taken after six months of talks to take over the club failed to materialise and to provide certainty to staff and players, thereby allowing them to seek alternative employment," the RFU said in a statement.
"The move also provides clarity to other clubs in the league and prevents a situation where the club goes into administration part way through a season," the RFU said in a statement.
"The RFU, Premiership Rugby and the RPA (Rugby Players Association) have been in regular dialogue with the club to support the takeover and provide regular updates to players and staff.
"Today the three organisations have announced they have launched a hardship fund for players and staff who are most in need of financial support. The fund will also be available to those in need following the Wasps and Worcester insolvencies."
The RFU's club financial viability group had agreed to the extension at the request of players and staff, who were paid only half of their May salary last week.
Last Friday the club were served three winding up petitions by the Government's tax authority HMRC, following the path of Wasps and Worcester, who went into administration late last year.
FINANCIAL STRUGGLES
Irish finished fifth last season, their best placing since 2009, but their demise has again exposed the financial struggles afflicting the professional game in England where limited TV and ticketing income struggles to support huge playing squads.
Irish have been ground sharing with Premier League football club Brentford in west London and have reported debts of around $60 million.
"This is desperately sad news for everyone who is part of the London Irish community as well as all the players, fans, staff and volunteers for whom this club means so much," said RFU CEO Bill Sweeney.
"Our collective first priority has been to do the utmost to secure the long-term viability of the club and the protection of its players and staff.
"Despite requesting this evidence over the last six months and receiving assurances on multiple occasions that we would receive proof of ownership and funds; it has not materialised.
"In the event that it would ultimately not be possible to save London Irish, our second priority has always been to avoid the club entering an unplanned insolvency mid-season.
"This was to prevent the huge disruption to players, staff, and fans, as well as on the remainder of the league and sporting integrity of the Premiership and Championship, that we witnessed with the demise of Wasps and Worcester."
With no automatic promotion from the Championship again for the new season, the Premiership looks set to consist of 10 teams and is highly likely to stay that way.
"I thank the other Premiership Rugby clubs for supporting this (hardship fund) and the RPA for helping implement the scheme," said Premiership Rugby CEO Simon Massie-Taylor.
"As a league we are making significant progress in recalibrating so that Premiership Rugby prospers in the seasons ahead. In the meantime, if an owner decides to withdraw financial support for a club, we have limited options to keep it going."
Although the professional arm of London Irish looks doomed, the community club, formed in 1898 and separated from the pro team when the game went professional in the mid-1990s, expects to continue at the same base in Sunbury, south-west London, where the Premiership squad also train.
The RFU said it would also ensure that the professional club's youth academy would continue.
-Reuters
