Welsh Rugby Union takes control of Cardiff Rugby

Cardiff is the largest of the four professional clubs in Wales, according to the Welsh Rugby Union

The Welsh Rugby Union (WRU) has taken control of Cardiff Rugby after the club's legal entity was placed temporarily into administration by its directors.

The development was expected after Wales' capital city side had served a notice of intent (NOI) to appoint an administrator for Cardiff Rugby Limited.

That decision was made once it became clear the club's owner, Helford Capital, who secured an 84.5% majority stake in January 2024, was unable to meet its obligations to fund the club as it was contractually obliged to do.

Immediately following the appointment of PricewaterhouseCoopers (PwC), the administrator sold the club's business and assets to the WRU.

The WRU say Cardiff players and staff, which includes 153 employees, will be unaffected by the sale and fixtures will be fulfilled, with season and match tickets remaining valid.

The governing body of Welsh rugby also say prepayments for 2025-26 season tickets will be honoured, as will existing sponsorship arrangements that have been paid for in advance.

'Welsh rugby could not lose Cardiff'

WRU chief executive Abi Tierney says professional rugby needed to be kept in Cardiff.

"Our first concerns are with the players, staff and supporters," said Tierney.

"They can be assured professional rugby will continue at Cardiff Arms Park.

"We have been keeping in close contact with the Cardiff Rugby Board for several months once they became aware of the risks to anticipated shareholder funding not being available.

"As a result, the WRU has been able to move quickly to provide support for Cardiff."

The WRU say Cardiff is the largest of the four professional clubs in Wales, with a regional population containing more clubs and schools than any other.

"It is unthinkable for us to allow the demise of professional rugby in the Welsh capital," said Tierney.

"There has been no hesitation for the WRU as we quickly moved to pull a rescue package together."

Cardiff Rugby chair Alun Jones says "the priority has been securing our staff, the future of the club and the rugby pathway in the capital city and wider region".

"We are incredibly grateful to the Welsh Rugby Union for securing our financial stability and ensuring professional rugby continues in Cardiff as we approach our 150th season," said Jones.

Change at Cardiff management level

The old Cardiff board ceased to exist with Jones having left his role as chair because he is not an employee.

"I'm devastated," said Jones.

"There's no other way of describing it, it's an awful situation.

"It's not something I envisaged happening during my tenure and not how I saw the journey ending for me.

"I'm relieved and so pleased for the staff, the club and the players. For the future of club rugby in Cardiff, that we were able to collaborate so quickly with the WRU, who didn't hesitate to step in.

"There's a sense of relief but disappointment and I'll go away and reflect."

The WRU confirmed they will be looking for a independent chair of "stature" to take on the role.

Chief executive Richard Holland will be transferred to the WRU as an employee.

He was asked whether he would think about stepping down from that role.

"I haven't considered it, my main priority is to protect the staff," said Holland.

However, when asked if still had the hunger to carry on, he said: "That's a very good question. It's been tough. I'll reflect, sit down, chat to Abi and Richard, and do what's right for the club and myself."

His fate will effectively lie with Tierney.

"What will happen is we will take a period of a few weeks to assimilate all members of staff that have come across," said WRU chair Richard Collier-Keywood.

"Abi will consider how we structure this subsidiary going forwards. I want to stress our broad intention is to operate this as an independent subsidiary.

"I realise that is a bit of an anachronism in a way. But it is important for Welsh rugby that Cardiff is treated in the same way as the other three clubs in Wales."

Looking for new investors

Cardiff are currently ninth in the United Rugby Championship

Tierney has indicated this will be a temporary solution with the WRU looking to return Cardiff to private ownership.

"In the coming months we will be actively seeking investors who wish to play their part in ensuring this is achieved and Cardiff returns to the top table of club rugby." said Tierney.

Tierney says the WRU will not be derailed from plans to chart the rise of the professional game in accordance with its 'One Wales' strategy.

Cardiff are among four professionals sides, along with Dragons, Scarlets and Ospreys, who are due to sign a new Professional Rugby Agreement (PRA) that will form part of the WRU's long-term vision for the improvement of the struggling sport in Wales.

"Cardiff has always been a major contributor to our player pathway and is critical to the success of our One Wales strategy both on and off the field," added Tierney.

What have the administrators said?

Rob Lewis and Ross Connock of PwC have been appointed as joint administrators of Cardiff Rugby Limited.

"We're delighted to have completed this transaction which provides the opportunity for a period of stability for professional rugby in Cardiff, a club which has a long and storied history in the sport and a name synonymous with rugby fans not only in Wales but across the world," said Lewis.

"The structure of the transaction means that the club will be able to continue to trade seamlessly under new ownership and fulfil its playing obligations in both the United Rugby Championship and Super Rygbi Cymru competitions this season and beyond, with minimum disruption to players and fans.

"We wish the club well for the future as the WRU seeks to secure its long-term future under stable ownership."