Wasps and Worcester relegations upheld as RFU rejects ‘No Fault Insolvency’ applications | Rugby Union News
Wasps and Worcester went into administration 13 days apart in October, with both clubs subsequently relegated and suspended from the Premiership amid searches for new owners; both clubs made ‘No Fault Insolvency’ applications, which if upheld would have overturned their relegation
Last Updated: 06/12/22 3:44pm
Wasps and Worcester have had their attempts to overturn their automatic relegation from the Premiership rejected by the Rugby Football Union, after the clubs were deemed to be at fault for their financial collapse.
The two clubs went into administration 13 days apart in October, with both subsequently relegated and suspended from English rugby’s top flight amid searches for new owners.
The administrators for both clubs submitted ‘No Fault Insolvency’ applications, citing the Covid-19 pandemic as their primary reason for entering administration, which if upheld would have enabled them to maintain their Premiership status.
However, the RFU’s Club Financial Viability Group found that Wasps submitted “insufficient evidence” to prove there had been no fault by the club, while Worcester’s “business model” was cited as a key reason for the rejection of their application.
Both clubs have a right of appeal to an independent panel, while the RFU reiterated a December 12 deadline for the sale of each team to be completed, in order to allow them to take up places in the Championship for the 2023-24 season.
More to follow…
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