New Zealand, Australia Slash Rugby Spending, Games Amid Economic Slump 18/12/2008 |
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New Zealand and Australia are scrapping some international rugby programs and trimming domestic competitions because of the economic slump.
The New Zealand Maori team will be replaced by the Junior All Blacks in the Pacific Nations Cup, which next year won’t feature Australia’s second-string team, a two-time runner-up.
The New Zealand Rugby Union said it’s taking a “deliberately cautious approach” to spending because conditions will probably get worse before improving. The country is in its longest recession in 18 years and the rugby union predicts a loss in 2009, Chief Executive Officer Steve Tew said.
“We have taken what we believe to be a sensible approach to our budget and have proactively reduced activity while we can manage the impacts rather than have changes forced on us,” Tew said today in a statement.
The Australian Rugby Union said last night it made a “strategic decision” to withdraw its Australia ‘A’ squad from the annual Pacific Nations Cup -- a competition established by the International Rugby Board to help develop so-called Tier Two nations Samoa, Fiji, Tonga and Japan.
The Sydney-based union had entered the tournament to give players a chance to press their credentials for selection in the elite national squad.
“There are alternative playing options for fringe Wallabies currently under consideration,” the union said in a statement.
Competitions Cut
The ARU also suspended the 2009 Australian Rugby Shield, a tournament involving regional teams. It said it still plans to deliver full funding to state rugby bodies in 2009 “despite the difficult economic environment.”
New Zealand is ditching the reserve team competition that runs parallel to the 14-team Air New Zealand Cup -- its leading provincial championship.
The New Zealand union wants to cut the budgets of its national teams program by NZ$1 million ($600,000) and will reduce spending on the All Blacks assembly costs, the national women’s team, development programs and an overseas tour program for the team selected from its Heartland Championship.
The so-called Heartland 15, which toured North America this year, will assemble only every two years instead of annually. The Maori may still play overseas in 2009 if matches generate enough revenue to cover costs, the NZRU added.
“Some of these were very tough decisions as they impact on people’s rugby development, aspirations and opportunities,” Tew added. “If economic conditions improve over time, we hope to be able to reinstate some or all of the programs.”
(Source: Bloomberg)
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