UK government ready to rescue up to eight sports facing financial black hole | Sport



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Sport has warned that the “pause” in the return of the crowd, announced by the government on Tuesday, could last throughout the winter, and even into early April.

The government is drawing up plans for an urgent rescue package for up to eight sports, after being warned that numerous clubs face financial ruin due to lack of entry receipts.

Leading figures from soccer, rugby, cricket, horse racing and three other sports also met with Culture Secretary Oliver Dowden on Tuesday to tell him the situation is getting more and more dangerous.

While Dowden promised to help, he also made it clear to the Premier League and other more financially stable organizations that they must do their bit by helping teams lower the pyramid as well. However, the danger to the sport became clear as:

• The Rugby Football Union warned that it would see a reduction in revenue of £ 122 million and that rugby clubs in the heart of England’s communities were “in danger of disappearing forever”.

• The Premier League reiterated its warning that football was losing £ 100 million a month and said that “the football economy” was unsustainable without fans.

• Yeovil president Scott Priestnall said he feared “not just for clubs at our level, but for League One, League Two and maybe a few in the Championship.”

• The British Horse Racing Authority described the news as “a severe blow” and warned that the racing industry “now faces a serious threat” and the loss of millions of pounds.

The government has yet to indicate the scale of any bailouts for elite sport. But while grants, loans and rate cuts are on the table, the Guardian understands that it will be substantially less than the £ 1.57bn awarded to the arts in July. The Treasury is also considering a separate £ 500 million package to prevent the closure of grassroots facilities and clubs, which is said to be skeptical of its benefits. But insiders fear that without help around 20% of the pools and hundreds of local authorities’ leisure centers could close, costing thousands of jobs and causing a drop in participation.

Grassroots sport has also been affected by the application of the rule of six to all adult indoor team sports, which will affect the five-a-side basketball, netball and futsal leagues. However, children will still be able to play those sports indoors.

Meanwhile, RFU President Bill Sweeney warned the government that the lack of crowds at the fall games and the 2021 Six Nations would cost the sport £ 106 million and have “serious consequences” at all levels of the game. game.

“The Premiership and Championship clubs will face important
difficulties, ”Sweeney said. “Our community rugby clubs are under threat. With no crowds and no league games, community rugby will lose approximately £ 86 million in revenue this season. “

A small number of Norwich fans attended the championship game against Preston, but the fans' safe return to the stadiums has been halted.
A small number of Norwich fans attended the championship game against Preston, but the fans’ safe return to the stadiums has been halted. Photograph: Nigel French / PA

The scale of the problem in club rugby was clarified by Tony Rowe, executive director of Exeter Chiefs, who said that many teams are in “absolutely desperate” situation. “We have to put bums in the seats,” he told The Guardian. “Without income we cannot last forever. We have been losing a million pounds a month since March and we are a club that normally never loses money. You can’t keep doing that. If we can get people back to the ground, at least we will have something on the way. “

The Premier League expressed disappointment at the lack of fans in the stadiums, saying in a statement that it was “confident” that they would “be as safe or even safer than any other currently permitted public activity”, adding: “The season Last week, the Premier League Clubs suffered losses of £ 700 million and today our national game is losing over £ 100 million a month. This is beginning to have a devastating impact on clubs and their communities. “

The Premier League would not rely on whether it would take the government’s comments into account to offer more financial support to the lowest clubs in the pyramid.

Burnley coach Sean Dyche offered a dissenting opinion, saying the Premier League shouldn’t necessarily help. “If you’re going to apply that rule of thumb, does that mean all the incredibly successful hedge fund managers are going to leak that to the less successful hedge fund managers?”

The National League is expected to postpone the start of its season when it meets Thursday amid serious concerns about how its clubs will manage without the day’s revenue. Yeovil President Scott Priestnall told The Guardian: “I fear for the sport. How is he supposed to survive without followers? “

There is also a fear within the British Basketball League that some of its clubs will have a hard time surviving if they cannot hold matches with crowds. His clubs are holding crisis talks on Wednesday. The Rugby Football League is forecasting a significant six-figure loss, over £ 250,000, as the Challenge Cup final on 17 October is now being played behind closed doors. The RFL expected the attendance of 20,000-25,000 fans.

(Additional reporting by Aaron Bower and Greg Wood)

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