Rugby bosses from the Rugby Football Union and Premiership Rugby officials will stand before the DCMS committee next month as the game’s sustainability comes under the spotlight.
Wasps joined Worcester in falling into administration on Monday, resulting in 167 players and coaches being made redundant.
The Gallagher Premiership had already suspended both teams and it now consists of just 11 remaining teams.
In a date yet to be confirmed, the rugby officials of RFU and PRL will be grilled by the Digital, Culture, Media and Sport (DCMS) committee over the clubs’ financial struggles and the future sustainability of the game.
Julian Knight, the DCMS committee chair, said: “The fact that two of the country’s top clubs have now suffered the fate of falling into administration raises serious concerns about the future of the sport and its financial viability.”
“The RFU and Premiership Rugby have acknowledged the need to set a more sustainable path for club rugby.”
“We will be pressing them to ensure they are putting the foundations in place to guarantee the health of the sport from the top level right down to the grassroots.”
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Wasps were charged with a £2 million winding-up order by HM Revenue and Customs for unpaid tax, as well as a £35 million bond, used to relocate the club to Coventry in 2014.
Since the beginning of the Premiership, 25 years ago, Wasps have been present in the competition and went on to win it 4 times in 2003, 2004, 2005 and 2008.
The team also won the European champions twice and have heralded one European Challenge Cup triumph. In addition, the team is renowned for having recruited some of England’s most famous rugby players.
Bill Sweeney, the RFU’s chief executive, said the governing body supports a transition to a 10-team Premiership from the 2024-25 season onwards in order to avoid clashes between domestic and international matches.
When asked if a reduced 10-team Premiership is the solution, Sweeney commented: “I do see it as viable for a number of reasons, and we’ve been saying for quite some time now that less is more.
“I don’t know if 10 is the absolute number but that’s the one being used now, but in that and the central distribution around broadcast and commercial revenues, clearly there’s a financial benefit for less teams in that league.”
“Clearly one of the major issues we’ve got to grapple with is the calendar.”
“And one of the things that’s held us back in England is the overlap between the international game and the club game”, Sweeney added.
“So a reduction in the size of PRL (Premiership Rugby Limited) will help us with that.”
A Premiership Rugby spokesperson said: “Premiership Rugby is committed to working with our clubs, the RFU and other stakeholders to address the challenges facing the professional game and put in place stronger foundations for the future.
“We look forward to updating the Committee on the progress of this crucially important work.”
