Prem Rugby introduces minimum salary floor of £5.4m for clubs next season

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Prem Rugby will introduce a minimum salary floor of £5.4m for each club next season as part of a long-term plan to increase competitiveness.The Rugby Football Union Council voted last month to ringfence the existing 10-team Prem until the 2029-30 season, when it is hoped two clubs will be added provided they meet minimum financial and sporting standards.Explaining the Prem’s growth plans in detail for the first time, its chief executive, Simon Massie-Taylor, revealed they are aiming to open expansion windows every four years, when up to two clubs could join.The first tender process will take place during 2027 and the most impressive applicants could be invited to join Champ Rugby the following season, with a view to moving up to the Prem in 2028-29 as long as they reach the playoffs in the second tier.

The new salary floor was signed off by the Prem board on Thursday and is £1m lower than the current cap, which will not change next season.“Our vision is to be the best league in the world,” Massie-Taylor said.“We are on a journey to define exactly what that means, but it doesn’t mean we are going to spend beyond everyone else and create wage inflation around the world.“We will only increase our salary cap when we’ve established a formula as part of our financial control, but the salary floor has been agreed.It has been established in principle and agreed in principle.

”As part of the growth strategy the Prem want to stage several so-called Big Games.“Big games are really important as they appeal to a wider fanbase,” Massie-Taylor said.“Our ambition is to have 10 by 2030 and that includes the final and the potential for neutral playoffs.“England have a game against Fiji this summer at the Hill Dickinson Stadium in Liverpool, which is a great new 55,000-seater stadium and in an area where there is clearly demand.There are a lot of options.

We’re intending to do this in 2029 because it takes time to secure venues, find the right spot and build demand,”
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