Where Does the Money Go

[GB72]

Just been thinking about this and I have no idea so I thought I would ask.

Where does the money go from the World Cup and Lions Tours.

At a time when rugby has a massive funding crisis, do the RFU get a big payout from the World Cup Revenues, a percentage from ticket sale, sponsorship, ad revenue etc or does the host nation take the majority. Same goes for the Lions Tour. That is a massive cash cow these days and we hear talk about how the funding is great for the Southern Hemisphere host but does a chunk of that come back to the home unions. Do clubs get paid for player release for the Lions tour.

Just interested to know of the RFU get to fill their coffers this year and in 2025. Especially interested in whether the clubs get a payout for player release as, whilst the tour is out of season, we get to suffer because of injuries, rest and the general poorer performance of Lions tourists straight after their return.

[ay2oh]

Just been thinking about this and I have no idea so I thought I would ask.

Where does the money go from the World Cup and Lions Tours.

At a time when rugby has a massive funding crisis, do the RFU get a big payout from the World Cup Revenues, a percentage from ticket sale, sponsorship, ad revenue etc or does the host nation take the majority. Same goes for the Lions Tour. That is a massive cash cow these days and we hear talk about how the funding is great for the Southern Hemisphere host but does a chunk of that come back to the home unions. Do clubs get paid for player release for the Lions tour.

Just interested to know of the RFU get to fill their coffers this year and in 2025. Especially interested in whether the clubs get a payout for player release as, whilst the tour is out of season, we get to suffer because of injuries, rest and the general poorer performance of Lions tourists straight after their return.

I worked out that’s about £125 k we are shelling out for players who aren’t available

[Rugbygramps]

Just been thinking about this and I have no idea so I thought I would ask.

Where does the money go from the World Cup and Lions Tours.

At a time when rugby has a massive funding crisis, do the RFU get a big payout from the World Cup Revenues, a percentage from ticket sale, sponsorship, ad revenue etc or does the host nation take the majority. Same goes for the Lions Tour. That is a massive cash cow these days and we hear talk about how the funding is great for the Southern Hemisphere host but does a chunk of that come back to the home unions. Do clubs get paid for player release for the Lions tour.

Just interested to know of the RFU get to fill their coffers this year and in 2025. Especially interested in whether the clubs get a payout for player release as, whilst the tour is out of season, we get to suffer because of injuries, rest and the general poorer performance of Lions tourists straight after their return.

I worked out that’s about £125 k we are shelling out for players who aren’t available

And yet people are still anti central contract.
Also while I understand that it’s very much Tigers first for a lot of fans, I wonder if it’s occurred, or do they care, that representing their country at a World Cup is the pinnacle of a lot of these players careers, and they wouldn’t trade that experience for anything

[ay2oh]

Nobody was questioning the importance of the World Cup the query was whether Tigers get reimbursed for being without 5 players for 2 months

[Rugbygramps]

Nobody was questioning the importance of the World Cup the query was whether Tigers get reimbursed for being without 5 players for 2 months

I think the 2 things are related imo. But that brings us back round to central contracts

[GB72]

This is not a thread arguing for or against central contracts or whether players are released etc, it is just purely a question about where the money made on 2 events outside of the normal calendar, the World Cup and the Lions Tour go.

I am especially intrigued about the Lions Tour as this has become something that is milked for all it is worth and we often hear how the host nations rely on the money that comes in from it and it gives them a massive cash injection so the question then is what happens to all of the money that is made by the Lions. I do not even know if there is a player release agreement so as the clubs get cash for the players used or does the money all go into the respective unions or even to a Lions central fund.

If the majority is received by the host nation the surely it is time for the event to become reciprocal and either the Lions play a home series after each away one or the Southern Hemisphere creates a similar team to come to these shores every few years. Would just seem wrong if the majority of the cash went to the host nation and clubs received no payment and so we would be lending out players to fund another country.

Really just trying to understand a bit more about these events and whether they are untapped sources of income that the clubs could look to secure some of in exchange for player releases.

[Rugbygramps]

I understand that, my response was in relation to the comment that it has cost us £125 k

[GB72]

Nobody was questioning the importance of the World Cup the query was whether Tigers get reimbursed for being without 5 players for 2 months

Certainly that was part of it. Trying to ascertain if the RFU get a bumper payout from World Cup revenues and whether any of that comes to clubs over and above the normal payment for international releases.

The Lions one was actually my big query based on some of the questions raised at the Ryder Cup (massive revenues, milked to death, players not paid so where does the money go). Whilst players on the Lions tour do not miss any of the season per se, they need rest periods, they often have poorer seasons as they have had no break, the fact is that the Lions is a massive cash cow but you never really hear where the money goes or, indeed, whether clubs see any of it. The TV deals alone must rake in a big chunk of change.

[Rugbygramps]

I would imagine that the cost to host a World Cup is astronomical, so honest question how much money does it actually make.

Not sure the Ryder Cup is the best comparison. Ok these 24 multi millionaires don’t get paid for a week but the other costs again must be vast and the relative spectator numbers are low, around 400, 000 for practice days and three playing days

[GB72]

I would imagine that the cost to host a World Cup is astronomical, so honest question how much money does it actually make.

Not sure the Ryder Cup is the best comparison. Ok these 24 multi millionaires don’t get paid for a week but the other costs again must be vast and the relative spectator numbers are low, around 400, 000 for practice days and three playing days

The comparison is that it is a sporting event held, ostensibly for the simple act of sporting competition. The fact that those involved are multi millionaires is not the point. I think that you may be wide of the mark with the money made though, those 400000 people spent over £100 per day for a ticket. That is £40 million in the bank, then there is sponsorship, merchandising, global TV deals, hospitality etc which all racks up to a massive payday. The Lions tour has all of those revenue streams. and yet I cannot see to ascertain where that money goes. It is certainly 'not for profit', there are many stories of the host union relying to some extent on the massive cash injection it brings.

If you have anything to show that either make no money then that would be interesting but I am sure that there was mention of £15 million windfalls from the last home hosted world cup.

I am not rallying against any of these events in any way but I do think at a time when cash is so tight it is not wrong to ask where the money goes and maybe are the clubs entitled to any of it, especially in the absence of a reciprocal tour which would see the touring side playing club sides in a way similar to the Lions.

[Rugbygramps]

I really don’t know about the World Cup, but the costs of maintaining all the grounds must be high enough, without any sundry supporter events etc. Then there are such things as the player bases for 20 teams, the transport costs of moving them around France, and many other overheads.
I’m sure you’re right about a profit but there are many things that eat into the revenue generated.

Don’t want to bang on about the Ryder Cup, as I know many on here will see golf as a good walk spoilt.
I love it it has a unique place in the sporting calendar and £40 million plus advertising revenue is a huge amount of money. But as with RWC that revenue covers everything. This year the course near Rome was specifically built for the Tournament plus the cost of making sure it was ready. The number of staff required for such a venue, then such things as the teams specially designed team areas, their hotels, their transport, all the gear they wear, even their partners have designer gear to support them in.
My point being that you ask an excellent question but the cost of hosting these huge events is far beyond what is immediately visible

[GB72]

I really don’t know about the World Cup, but the costs of maintaining all the grounds must be high enough, without any sundry supporter events etc. Then there are such things as the player bases for 20 teams, the transport costs of moving them around France, and many other overheads.
I’m sure you’re right about a profit but there are many things that eat into the revenue generated.

Don’t want to bang on about the Ryder Cup, as I know many on here will see golf as a good walk spoilt.
I love it it has a unique place in the sporting calendar and £40 million plus advertising revenue is a huge amount of money. But as with RWC that revenue covers everything. This year the course near Rome was specifically built for the Tournament plus the cost of making sure it was ready. The number of staff required for such a venue, then such things as the teams specially designed team areas, their hotels, their transport, all the gear they wear, even their partners have designer gear to support them in.
My point being that you ask an excellent question but the cost of hosting these huge events is far beyond what is immediately visible

Off Topic The courses actually pay to host the Ryder Cup (The 2010 and the Belfry were not chosen for their quality). Course pay as that gives them to prestige to up their prices and attract more golfers. As with most major golf events, the majority of on course staff are volunteers working for tickets and merch. So really you are left with food an accommodation for a week. That said, the figures for the event, like the Lions, are pretty shrowded in secrecy but the article below estimates an income from the event of $100 million for the week and you cannot tell me that all goes on expenses.

https://golfbusinessnews.com/news/ryder ... -revenues/


Now looking around google a bit it appears that the players on the last tour received £75k each plus bonuses. That is paid at a time when they are contracted to their clubs and should be on a rest period. I can find nothing that hints are whether the club receives any form of payment as well.

[Rugbygramps]

I think I’m right in saying there is no remuneration to the clubs for Lions tours under the present arrangement

[GB72]

OK, I have found some more info. The lions is run by a company owned by the home unions and made a profit of £9.6 million pounds form the last tour. They hire 12 staff full time at a cost of £1.8 million pounds a year. It apparently costs £4 million pounds to run the company between tours and the rest of the profit was used to pay off losses from previous years.

No money to clubs.

[mightymouse]

Those 12 staff must be paid a hell of a lot!!