55 replies to this topic

[Honor James]

RFL Governance Review paves ways for sustained success

The RFL is to build on its status as one of the most effective and respected National Governing Bodies in UK sport by enhancing the way in which the sport is governed.

At the organisation’s Annual General Meeting held at Hull Kingston Rovers yesterday, the RFL Council received the recently conducted Review of Governance in Rugby League prepared by eminent sports lawyer and RFL Interim Chairman Maurice Watkins.

Watkins said: “The system of governance employed by Rugby League is rightly regarded as a model for others to follow, but given the recent departure of long term RFL chairman Richard Lewis, we believe it was right to pause and reflect on whether it was still appropriate to meet the challenges that we all face.”

The review concluded that Rugby League governance was ostensibly sound but it did make a number of recommendations where further improvements will allow the game to make the most of its opportunities for success.

The recommendations in the 32-page Watkins Review of Rugby League Governance were very well received when they were presented to the RFL’s member clubs and organisations.

The key recommendations in the Review were that the sport should remain governed by a single, unified governing body with a majority of independent directors.

Recruitment for a non-Executive Chairman will begin immediately and Community Game representation on the RFL Council will be expanded to mirror that of the RFL Community Board. In addition, the Review suggested a modification to the RFL’s distribution share formula and the introduction of a Chairman’s Charter to underpin the renewed spirit of collaboration.

The findings follow an extensive consultation process involving all the RFL’s key stakeholders over a three-month period and the report’s author is delighted by the candid and constructive responses he encountered.

“Rugby League’s governance model is widely recognised by other sports as one of the most effective in the country and it is clear that this view is shared throughout the game itself,” said Watkins, the senior non-Executive member of the RFL’s independent Board of Directors.

“The vast majority of responses from our stakeholders were that the RFL Board must remain independent and retain governance and management of the sport at all levels."

In addition to reporting on Rugby League Governance, the Review supported RFL Chief Executive Nigel Wood’s recommendation that a number of RFL strategic policies also be reviewed.

“What came across loud and clear was a desire for a spirit of collective responsibility and transparency which will enable all sections of the game and the governing body to work together more closely on shared goals,” Watkins added.

The Watkins Review of Rugby League Governance can be downloaded by visiting
www.therfl.co.uk//~rflmedia/docs/RFL_TheWatkinsReview.pdf

Hanna Malloy
RFL media assistant

[flyingking]

Recommendation number 9 appears to be quite significant


9. RFL profit is equally distributed to each professional member of the RFL (whether they be Super
League or Championship). 10 per cent of the profits should continue to be distributed to the
Community Game.
The current distribution of RFL profits to members is also an issue that is in need of review. At present, 60
per cent of profit is directed to members in the Super League, 30 per cent to members in the Championships
and 10 per cent to the Community Game. This split was in part determined by recognition of the
contribution Super League clubs made in releasing players for international duties, which is now addressed
through a separate financial mechanism. It is therefore now appropriate to amend this split to ensure a more
even distribution of profits, recognising the valuable contribution all parts of the game play in its overall
success, and ensuring that each tier of the sport has a vested interest in the financial performance of the
RFL. The payment of an equal share of profit to each RFL professional club member would be appropriate

[Ant]

Absolutely superb.

Where is this dying game? Where is this badly managed and run game?

Bravo to the RFL for continuing to be the Greatest Game of All.

[flyingking]

Some figures for forum members to have fun with

The rights to broadcast the Super League, World Club Challenge, Challenge Cup, International matches,
the Northern Rail Cup and the Championships were again marketed jointly in 2007 (for the period 2009-
2011). A joint bid from Sky and the BBC for all properties was accepted in the sum of £81million. For the
sale of broadcast rights for the period 2012 to 2016, the rights to broadcast International matches were
excluded from the joint o—ffering. Agreements were concluded with Sky, the BBC and Premier Sport for the
broadcast of the Super League, World Club Challenge, Challenge Cup, Championships and Northern Rail
Cup in the sum of £135million for the period 2012 to 2016.


In addition to the broadcast revenues, the RFL is in receipt of signifi cant levels of government funding
for its work in both the development of elite athletes and increasing participation in the sport. During
the current funding cycle (1 st April 2009 to 31st March 2013) the RFL will have received in excess of £27m
for this work. These funds have been used to deliver a number of programme and capital costs (for
example the RFL was awarded £3million between 1 April 2009 and 31 March 2013 by Sport England for
the improvement of facilities at Community Rugby League clubs). However the majority of this funding
has been used to deliver employment opportunities within the sport in accordance with the terms of the
funding agreements with the government bodies and agencies.

Edited by flyingking, 19 July 2012 - 11:19 AM.

[Matt J]

This is good reading. Impressed.

[RidingPie]

The rights to broadcast the Super League, World Club Challenge, Challenge Cup, International matches,
the Northern Rail Cup and the Championships were again marketed jointly in 2007 (for the period 2009-
2011). A joint bid from Sky and the BBC for all properties was accepted in the sum of £81million. For the
sale of broadcast rights for the period 2012 to 2016, the rights to broadcast International matches were
excluded from the joint o—ffering. Agreements were concluded with Sky, the BBC and Premier Sport for the
broadcast of the Super League, World Club Challenge, Challenge Cup, Championships and Northern Rail
Cup in the sum of £135million for the period 2012 to 2016.

A lot of people were worried and vocally against the splitting off of the Championship matches at the time but it seems to have worked well. Also I like Premier Sports coverage a lot. Maybe it isn't as glossy as Sky's but in many ways its at least as good.

[flyingking]

Balance Sheet and Treasury Policy
The losses brought about from the RFL’s staging of the 2000 World Cup of £750K, in addition to the
cumulative RFL losses from the preceding years and the further trading loss in 2001 had left the RFL with
a balance sheet defi cit of £2million at the end of 2001. Recognising the need for change, the RFL Board
appointed in 2002 sought to return the RFL to a positive balance sheet within two years. The Board was able
to return successfully the balance sheet to a positive position within that period, and the RFL’s balance sheet
now sits at a positive £1.7million, with liquid reserves making up just over 50 per cent of this amount.
In December 2002 the RFL posted a pre-tax profi t of £809K. For each subsequent year the RFL has delivered
member clubs a distribution of a minimum total of £150K whilst also posting pre-tax profi ts. As part of the
RFL treasury policy, the Board has been mindful throughout this time to ensure that, in the main, operating
surpluses fl ow back to the wider game rather than retaining large sums as reserves (thereby attracting
corporation tax). Further signifi cant donations have also been made to Rugby League charities (such as the
RFL Facilities Trust) in order to fulfi l the strategic priority of investing back into the sport.
In recent years the RFL has also established a Corporate Social Responsibility programme, with particular
attention upon player welfare, equality and diversity within the sport and the safeguarding of children and
vulnerable adults.

[brooza]

I'd like this in audiobook form so I can listen to it on my way up to Leeds tonight. Anyone fancy doing it within the next 4 hours?

[Ant]

And people say our game is badly run?

This is quite superb reading.

[Futtocks]

And people say our game is badly run?

This is quite superb reading.

Yeah, but there's this bloke down the chippie who knows this bloke who knows this bloke who knows the REAL TRUTH and he says the game is dying and all the giant lizard overlords who run the RFL are concerned with is destroying all non-Superleague clubs. FACT.

[RidingPie]

As someone who is not always positive about the RFL I'd point out that its generally the marketing of the game I criticise not the general running.

Many are probably in the same boat on this one.

[Grinner]

May I be first to say, "the RFL are killing this great game of ours, I fear for the future"?

Cheers.

[flyingking]

The report also sets out the relationship between the RFL and the Superleague


The RFL (Governing Body) Limited Chairman and Chief Executive Officer are also appointed as the
sole directors of SLE. However the Articles contain a safeguard for the Super League clubs, who have
the option either to appoint an independent non-executive director to the Board of SLE or return to the
former system of “club directors” upon the passing of a special resolution to do so (i.e. with the approval of
75 per cent of the member clubs).
The Articles of SLE also reserve decision making powers to the club shareholders on a number of issues.
Only the club shareholders have the power to agree:
a. The competition broadcasting agreement.
b. The title sponsorship of the competition.
c. The number of rounds to be played in the Super League.
d. The format of the Super League.
e. The allocation of central television distributions, prize money and trading surpluses.
The Articles also confirm those issues upon which decisions can only be made where the approval of a
majority of Super League clubs and the RFL has been obtained. They are:
a. The number of clubs to play in Super League.
b. The Super League Salary Cap Regulations.
c. The name of Super League.
d. Promotion and relegation to/from Super League.

e. Commitment to the RFL Fixture List.
f. Obligation of each club to enter the Challenge Cup.
g. Ownership of more than one club.

So anyone who advocates a return to P and R would first need to convince eight Superleague clubs that they should risk demotion and loss of financial revenues for the greater good of the game. Sounds like a tough sell.

[clement]

Absolutely superb.

Where is this dying game? Where is this badly managed and run game?

Bravo to the RFL for continuing to be the Greatest Game of All.

Tomorrow night on Sky probably.

[roughyedspud]

i believe the RFL has enough money to fund a stronger 10 team 2nd tier,with a salary cap of £750k, via club grants..


the money is there to do this..

[Jonty]

What an enlightening report, and it is good to see that the RFL are looking at building on the chanbges and grwoth that has happened over the past decade, rather than a complete shift from the administration of Richard Lewis.

Well done RFL for not only producing such a positive report, but also for releasing it into the public domain and dispelling many of the myths about rugby league.

[Bedford Roughyed]

i believe the RFL has enough money to fund a stronger 10 team 2nd tier,with a salary cap of £750k, via club grants..


the money is there to do this..

Money for the Championship? Typical to forget the clubs in CH1. Super duper league and chumpyship fans not caring about those below...

Edited by Bedford Roughyed, 19 July 2012 - 11:56 AM.

[Grinner]

Just noticed that the graph on Page 26 appears to show that the Origin (i.e presume they mean England v. Exiles) games are under a seperate contract worth about £1.5 m. So looks like they are here to stay?

[roughyedspud]

Money for the Championship? Typical to forget the clubs in CH1. Super duper league and chumpyship fans not caring about those below...

we'll be in the pennine league anyway lol

[bowes]

As someone who is not always positive about the RFL I'd point out that its generally the marketing of the game I criticise not the general running.

Many are probably in the same boat on this one.

The problem is in the structure of the competitions. Nonetheless they had some good ideas that self interest from clubs and leagues prevented the realisation of.