Welsh Rugby Union confident of loan renegotiation

Steve Phillips took over from Martyn Phillips as Welsh Rugby Union (WRU) chief executive

Welsh Rugby Union chief executive Steve Phillips says an agreement in principle has been reached over the £20m loan to the four regions.

The Coronavirus Large Business Interruption Loan Scheme (CLBLS) loan was negotiated by the WRU for Wales' four professional sides in 2020.

"We are pretty much agreed in principle, and I'm optimistic," said Phillips.

"It is agreed and we are now at the documentation stage."

Phillips added: "Let's just say we've been delayed two to three weeks due to the debate over crowds or no crowds [in Wales] etc.

"It's all in hand, and it's imminent that we'll be concluding this. I'm hoping to do it in the next two or three weeks.

"We had to do the CLBLS at the time because that was the only thing available to us.

"CLBLS will get refinanced with the Welsh government hopefully over the next couple of weeks, and then the deal becomes effectively a refinance with Welsh government."

The original terms of the loan were viewed as unfavourable with the burden being placed on the regions to pay it back.

Representatives from the WRU and Ospreys, Scarlets, Dragons and Cardiff sit on the Professional Rugby Board (PRB).

Phillips believes without the loan, the regions likely would not be here right now and denied an allegation of a "master and slave relationship" with the four regions who have been frustrated they have not received more money for the use of their Wales players.

"I don't recognise that. I don't think there's a master-slave relationship, and there's no such conversation at PRB level covering that point," added Phillips.

"There's a couple of points in there. In terms of the structure that is now in place that was all agreed at PRB level.

"There's documentation reflecting it. In terms of what we are now doing it's everything we discussed and agree at PRB level.

"To the question, 'should you have paid them more?', we were in a pandemic, there weren't any revenues around, don't underestimate how much revenues were lost."

The PRB are also looking for a new chair after Amanda Blanc will officially step down this month with no reason given for her departure.

Phillips believes her successor must be paid after it has been a voluntary role since 2018 with Blanc doing the position alongside her status as Group CEO of Aviva.

"I think what we have to recognise is that Amanda has done a great job in very challenging circumstances," said Phillips.

"She came in straight into the pandemic. She's been great, so I think Welsh rugby owes her a massive sense of gratitude. A head-hunter has been appointed to find her successor, and we want it resolved as soon as possible.

"It's a challenging job. There are a lot of good candidates in the process so far."