Clubs face financial hit in 2021

Super League clubs are set to miss out on almost £300,000 of Sky distribution money next year.

League Express understands clubs will receive their full allocation of money this season on the proviso the season returns in August, but they will face a hit in 2021, the sport’s final year of their existing deal with the broadcaster.

As it stands clubs receive in the region of £140,000 per month from the current contract and they are set to continue receiving that this year.

However, next year will see them lose around 17 per cent of their distribution money.

The news has not come as a surprise to clubs, who were expecting rebates following the suspension of the season. Other sports, such as football, have also taken a heavy hit; in fact, there is a general feeling that Rugby League has got off lightly in comparison to some other sports.

But it is still a significant blow for clubs, who have cut their costs to ensure financial stability.

It goes in part to explaining the proposal from some clubs to reduce the salary cap by almost £300,000, as that lesser spend would go towards covering their losses next year.

Ultimately, despite the cap not being reduced, there are some clubs who are still keen to cut their costs next year and will spend less than they planned in 2020, while many clubs have already made contingency plans elsewhere within their businesses in preparation for next year.

Several sources have told League Express that contract offers have seen substantial reductions for many players off-contract, including a number of high-profile stars across Super League.