WRU reports £18m loss as it argues four regions are unsustainable

The Welsh Rugby Union has reported an £18m loss for the financial year ending June 2026, more than double the previous year's £7.2m deficit, according to BBC Sport. The governing body says the results reinforce its position that funding four professional regions is no longer sustainable, following its decision to reduce the number to three.

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Turnover increased by £10m to £116.2m, but that growth did not prevent a deterioration in the overall result. Chief financial and operating officer Gavin Marshall acknowledged that the figures were disappointing. The WRU attributed the decline to higher energy and staffing costs, weaker ticket sales and lower spending by supporters. Its accounts have been shared with member clubs and are expected to be filed with Companies House on Friday.

Marshall set out the pressure on regional funding by identifying major commitments elsewhere in the organisation. He put stadium costs at £26m, national-team costs at £20m, loan interest at £3m and community rugby funding at £4m. According to his explanation, about £20m is available to invest in professional rugby, while the union is currently providing £26m across the four clubs. Ospreys and Scarlets are competing for one west Wales regional licence.

The men's international programme also fell short of delivering a proportionate increase in revenue. Wales hosted seven men's internationals, compared with five in the preceding year, yet match income rose by only £2m. Marshall pointed to lower average ticket prices, reduced attendances at some matches and pressure on consumer spending. The union has expanded its ticket-price categories from three to six as it seeks to attract supporters while generating income.

Cardiff's finances remain another responsibility for the WRU, which took over the region in April 2025 and absorbed its £1.2m loss for the latest financial year. Marshall confirmed that the club will be offered for sale again after the restructuring process, rather than during the current uncertainty. Separately, the union received £9.6m through a sale of United Rugby Championship shares to CVC Capital Partners. It says the regions will receive enough of that money to cover the resulting reduction in annual league distributions.

Member clubs will examine the results at next month's annual general meeting. The WRU is already forecasting an operating loss of £16m for the next financial year, BBC Sport reported. Marshall said the organisation's responsibility is to strengthen its finances so it can support rugby at every level.