WRU warns of 'cost savings' for 2025 despite increased investment

The Principality Stadium celebrates its 25th anniversary in 2024

The Welsh Rugby Union (WRU) have announced they are "implementing a number of cost savings" for the 2025 financial year and beyond.

The WRU's audited annual report for the 2023 financial year showed new profit and loss figures for the last two years.

Since the initial report was published last November, the loss in 2023 is now listed as £14m up from £4.9m - while the profit in 2022 now stands at £37.3m rather than £2.9m

In the latest report, WRU chief executive Abi Tierney warned the organisation is "performing below the forecasts set for the 2024" but revealed increased investment into the game in 2023.

"Since the closing of the financial year in June 2023, we have continued to face challenging financial circumstances, performing below the forecasts set for the 2024 financial year," said Tierney.

"We are implementing a number of cost savings for the 2025 financial year and beyond, in order to ensure a sustainable financial performance in the short and long term, while also maximising our investment in rugby.”

The new figures show investment in Welsh rugby in 2023 increased to £65.3m, up £2.4m on the previous year.

The WRU say changes to profit and loss figures for the past two years are down to "technical reasons".

"For technical reasons the group’s recorded loss in 2023 and profit in 2022 are different after fair value movements in the options and investments associated with CVC Capital Partners transactions with the Six Nations, where the group is a shareholder," said the report.

"The WRU has a stated policy of maximum reinvestment into the game annually, rather than retaining profits."

Tierney added that the changes are not a concern.

"These adjustments are historical and there is little effect on our on-going business due to restatements made.

"They are set firmly in the past and do not impact the trading performance of the group.

"We should also note that we are not alone as a rugby union in this, with other unions around the UK and overseas in similar positions."