How will Brexit affect Rugby Union?

Over a year has passed since the historic referendum vote, which resulted in the UK deciding to leave the European Union.

There has been a lot of talk about how Brexit will impact on the economy, but how will it affect rugby union? As it happens, we are seeing a couple of effects taking place already.

Tournament organisers failed in their attempts to secure lucrative £100 million multi-year sponsorship deal for the Six Nations, after no bidder was found to replace RBS’s contract. Instead, a one-year stopgap deal with the bank’s NatWest brand was agreed, reportedly for a reduced fee.

The failure to find a long-term sponsor for the tournament has been pinned on economic uncertainty caused by Brexit. In being forced to accept less money, that could be a sign of a squeeze on the finances of the unions. At club level, this could play into the hands of France and the Southern Hemisphere sides.

Attracting talent

At club level, a move from the Premiership and Pro14 clubs to France’s Top 14 may be more alluring. British clubs’ ability to attract the world’s best may be hampered if the Pound continues to fall in value against the Euro. By choosing, say, Stade Toulon over Saracens, players’ pay packets will likely be worth more in Euros than Sterling.

Indeed, Sarries have voiced their concerns that the existing salary cap of £7m a year hampers their ability to keep their homegrown stars from departing for France. The Top 14’s salary cap is €10 million (£8.98 million); this can make the difference between keeping a marquee player and being forced to sell them because they have a better offer on the table overseas.

The GBP vs EUR exchange rate has already negatively affected Premiership clubs’ salary caps. The current cap may need to be increased to prevent any exodus of talent. As far as signing new players is concerned, the club sides may focus on holding on to their own rather than importing from overseas.

Giving youth a chance?

There could be a positive brought to the game by Brexit. The extra paperwork needed to sign players from France, Italy and Ireland after leaving the EU may put teams off, forcing them to focus on developing their own stars instead. In the long run, this could mean the best of British choosing to stay at home for longer.

Once Brexit is finalised, the free movement rules that allow players to move to France, Ireland, Italy and other parts of Europe will be tightened up. For the national teams, this may see more young prospects choose to stay at home due to tightened immigration rules, potentially becoming better players in the process.

Even in the event of a Hard Brexit, players who have competed in at least one test international for a tier one or tier two country would still be able to move to the UK. The present rule in Premiership Rugby says that two foreign players can be on the pitch at any one time. Post-Brexit, this could change to include EU players.

There are still a few unknowns about the full impact of Brexit on the sport. However, the two main themes are and will remain to be money and where players can actually play