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Another English club go into administration

BATH, ENGLAND - SEPTEMBER 16: Greg McGrath and Adam Nicol of Jersey Reds look on as they arrive at the ground during the Premiership Rugby Cup match between Bath Rugby and Jersey Reds at The Recreation Ground on September 16, 2023 in Bath, England. (Photo by Patrick Khachfe/Getty Images)

Jersey Reds, the winners of last year’s Championship, are set to enter administration.

The latest sorry saga to befall English rugby will be confirmed by the club later today, with players and staff having already been informed.

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Jersey’s climb through the leagues to become champions of English rugby’s second tier has been one of the success stories of recent times.

But RugbyPass understands that the withdrawal of one of the club’s main investors has contributed to a budget over-spend of circa £500,000 last season and they have been in financial difficulties for some time.

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Jersey government has offered its support over a number of years, to the tune of over £1million, but patience has grown thin.

Jersey Reds, the professional arm of the club, became a standalone company last year, safeguarding the future of the amateur set-up.

It’s a hammer blow to Harvey Biljon, who is in his testimonial year at the Reds, and has carved out a reputation for himself as one of the best DoRs outside of the Premiership.

Only a fortnight ago, Jersey went to Bath in the Premiership Cup and won 34-10 in front of the TNT Sports cameras.

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The news also means that coach Rob Webber and Kyle Eastmond’s fledgling coaching careers have hit the buffers; in the case of Eastmond, only two months in from signing.

It’s another bitter blow for the game in England, which last season saw the demise of Wasps, Worcester and London Irish.

A club statement reads: “Jersey Reds regret to confirm that the club ceased trading at 5.30pm on Wednesday September 27th and is exploring the way forward. However, liquidation appears inevitable unless a solution can be found in the very short term.

“The professional side made the move amid a continuing backdrop of uncertainty about the future of English rugby’s second tier, having competed in the RFU Championship for the past 11 years and won the league last season.

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“The decision came with an admission that the club would be unable to pay September salaries due this week, and would not be travelling to south-west England to fulfil the scheduled Friday night cup fixture against Cornish Pirates.”

Reds Chairman Mark Morgan said he was devastated that the move “had to be made”, but that it had become clear on Wednesday that there was no alternative.

“We had been able to start the season and maintain sufficient funds to cover the summer, but regret that our conversations with potential new investors as well as existing ones have been unsuccessful,” he said. “At one stage at the end of last season it appeared there was a viable way forward for the second tier once the new Professional Game Agreement was implemented from summer 2024, but Championship clubs have been left in the dark since that point and this led to a growing fatigue among those who may have invested, but could not be given any concrete assurance about when the new structure would come in, or how it would be funded.”

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Comments

3 Comments
J
Jim 450 days ago

The chickens of the Covid lockdown coming home to roost!!!!! Another club..

M
Michael 450 days ago

Their rise up to potential prem was interesting to follow, sad news. RFU needs a complete overhaul of operations. Maybe getting involved with part ownerships. An anglo-welsh league could generate more interest and revenue. But the financial climate right now is challenging for rugby.

M
Mark 450 days ago

Blimey if a tax haven can't sustain a professional rugby club, what hope for the rest of the clubs in the championship and prem!!

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JW 6 hours ago
Does South Africa have a future in European competition?

I rated Lowe well enough to be an AB. Remember we were picking the likes of George Bridge above such players so theres no disputing a lot of bad decisions have been made by those last two coaches. Does a team like the ABs need a finicky winger who you have to adapt and change a lot of your style with to get benefit from? No, not really. But he still would have been a basic improvement on players like even Savea at the tail of his career, Bridge, and could even have converted into the answer of replacing Beauden at the back. Instead we persisted with NMS, Naholo, Havili, Reece, all players we would have cared even less about losing and all because Rieko had Lowe's number 11 jersey nailed down.


He was of course only 23 when he decided to leave, it was back in the beggining of the period they had started retaining players (from 2018 onwards I think, they came out saying theyre going to be more aggressive at some point). So he might, all of them, only just missed out.


The main point that Ed made is that situations like Lowe's, Aki's, JGP's, aren't going to happen in future. That's a bit of a "NZ" only problem, because those players need to reach such a high standard to be chosen by the All Blacks, were as a country like Ireland wants them a lot earlier like that. This is basically the 'ready in 3 years' concept Ireland relied on, versus the '5 years and they've left' concept' were that player is now ready to be chosen by the All Blacks (given a contract to play Super, ala SBW, and hopefully Manu).


The 'mercenary' thing that will take longer to expire, and which I was referring to, is the grandparents rule. The new kids coming through now aren't going to have as many gp born overseas, so the amount of players that can leave with a prospect of International rugby offer are going to drop dramatically at some point. All these kiwi fellas playing for a PI, is going to stop sadly.


The new era problem that will replace those old concerns is now French and Japanese clubs (doing the same as NRL teams have done for decades by) picking kids out of school. The problem here is not so much a national identity one, than it is a farm system where 9 in 10 players are left with nothing. A stunted education and no support in a foreign country (well they'll get kicked out of those countries were they don't in Australia).


It's the same sort of situation were NZ would be the big guy, but there weren't many downsides with it. The only one I can think was brought up but a poster on this site, I can't recall who it was, but he seemed to know a lot of kids coming from the Islands weren't really given the capability to fly back home during school xms holidays etc. That is probably something that should be fixed by the union. Otherwise getting someone like Fakatava over here for his last year of school definitely results in NZ being able to pick the cherries off the top but it also allows that player to develop and be able to represent Tonga and under age and possibly even later in his career. Where as a kid being taken from NZ is arguably going to be worse off in every respect other than perhaps money. Not going to develop as a person, not going to develop as a player as much, so I have a lotof sympathy for NZs case that I don't include them in that group but I certainly see where you're coming from and it encourages other countries to think they can do the same while not realising they're making a much worse experience/situation.

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