Scottish rugby's financial reset plan
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Scottish Rugby has commenced a "financial reset programme" aimed at bringing the sport back to profitability within the next three years.
As a result, the governing body is planning on putting up to 35 jobs at risk across a number of departments, although the playing budget for Glasgow Warriors and Edinburgh Rugby will remain unaltered for next season. The existing chief executive and performance director vacancies will still be filled, but new external recruitment has been paused during the collective consultation process.
Scottish Rugby has reported substantial losses over the past two financial years of £10million in each of its accounts and while the outlook is brighter for the upcoming year, the union wants to be in a position to break even in the 2025/26 accounts before being profitable in 2026/27.
A statement issued by Scottish Rugby on Wednesday read: "A two-year timetable to reset Scottish Rugby’s financial position has been agreed by both Scottish Rugby Limited and Scottish Rugby Union Boards with implementation planned for the financial year, starting today, 1 July 2024.
"Following a shared objective of addressing costs the new budget approach provides a solid foundation to support future growth and delivery of Scottish Rugby’s 10-year strategy.
"Work undertaken by Scottish Rugby’s Executive reviewed activity delivered across the organisation. This included operational spend, which covers the running of Scottish Rugby activities and programmes, along with its existing salary budget.
"The reset will reduce the extent of expected losses over two financial years, returning Scottish Rugby to a breakeven position from financial year 2025/26.
