WRU trigger two-year notice on restructuring of funding

Major changes on horizon for a three-team model

- By JON DOEL

THERE will no longer be four evenly funded teams, the Welsh Rugby Union has said.

It is understood the WRU's intention is to move to a three-team model.

The Welsh Rugby Union has issued a statement confirming major change is coming after its proposed new Professional Rugby Agreement (PRA) failed to be accepted by all four teams.

The WRU has now triggered the two-year notice period on the current set-up and said the future landscape will not see four evenly funded teams.

It was revealed on Saturday night the WRU has informed the four clubs the number of teams needs to reduce to three, with that process beginning this summer.

How that plays out is far from certain, with two teams merging one potential option that will be explored.

The seismic development comes after the Ospreys and Scarlets refused to sign the new agreement following the Union's takeover of Cardiff.

The WRU has activated the two-year notice on the old PRA because it is desperate to refinance its debt - something the new PRA would have done.

NatWest view the old PRA as too much of a risk to refinance the debt because any increase in the WRU's profit has to go to the four professional clubs.