Leicester Tigers fined almost £310,000 for salary cap overspend
- Published
Leicester Tigers have been fined almost £310,000 for non-compliance with salary cap regulations, Premiership Rugby has announced.
Following an investigation, it was shown that Tigers had failed to disclose payments to image rights companies of the players.
These third-party payments triggered a breach of the salary cap in each of the seasons between 2016-17 and 2019-20.
The club accepted the findings, and as such there will be no appeal.
Tigers were fined a sum based on the total 'overrun' they accrued across the four seasons of the breach, in which they paid 50p for every £1 of overspend up to a ceiling of £50,000, with the full payment required for the rest.
The club were fined £122,750 for 2016-17, £64,718.05 for 2017-18, £30,886.69 for 2018-19 and £73,586.32 for 2019-20.
There was also a further fine of £17,900 for failing to declare payments for the 2020-21 season, in which there no breach of the cap.
In total Leicester have been ordered to pay £309,841.06.
The Premiership leaders, who are 12 points clear of Saracens at the top of the Premiership, have escaped sporting sanctions for their breach and will not be deducted points.
Comparisons with Sarries, who were relegated in 2020 on the back of their own salary cap breaches, show a far greater overspend in their scenario: more than £1.1m in 2016-17, £98,000 in 2017-18, and £906,000 in 2018-19 compared to the Tigers' largest overspend figure of £147,750 for 2016-17.
"We accept the decision and the acknowledgement that there was no overrun in the most recent season of the review," said Tigers chief executive Andrea Pinchen.
"We are thankful this matter has been brought to a conclusion and pleased that we can now focus all of our energy and efforts on the future of the club."
Premiership Rugby salary cap director Andrew Rogers added: "Leicester Tigers have cooperated with my investigation and accepted the findings, which allows us to apply the sanctions detailed in the regulations.
"While we are satisfied that the arrangements which resulted in the overspend have been brought to an end, we will continue to assess all spending as part of our ongoing monitoring process at every club."
'Relief for Tigers... but questions to answer too' - analysis
Adam Whitty, BBC Radio Leicester's Tigers reporter
The overwhelming feeling at Leicester, and from their fans, will be of relief. With Tigers 12 points clear at the top of the table, this investigation had the potential to derail their title bid, or even relegate them, had the offences been serious enough.
But this is not a good day for England's most successful club. Tigers have been found to have systematically bypassed rules aimed at keeping the Premiership fair and competitive, and have incurred the second biggest salary cap fine in the division's history.
Tigers, miraculously, appear to have regularly overspent just below the limit that could have led to a points deduction or worse. Had they been investigated under current rules, and not those in place at the time, they'd be in big trouble.
Their reputation is significantly hit by this, and despite wholesale change in the boardroom and at coaching level since these breaches, some figures have big questions to answer.