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Topic ClosedSalaries in Nat 1

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fat rick View Drop Down
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Direct Link To This Post Topic: Salaries in Nat 1
    Posted: 27 Feb 2018 at 12:08
Loughborough Students fan in piece.

I wondered what people's thoughts were on a Salary Cap in National One?

There was talk of individual salaries in excess of 50k, and even rumours of one team at the top paying players a percentage of gate revenue!

I'm not sure how much truth there is in this, I'm curious big the disparity in salaries is?

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Pistacio View Drop Down
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Direct Link To This Post Posted: 27 Feb 2018 at 12:10
this is only going to end in wild speculation and people getting upset. I very much doubt indviduals are getting 50k to play nat 1.
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Big Eddie View Drop Down
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Direct Link To This Post Posted: 27 Feb 2018 at 12:17
Originally posted by fat rick fat rick wrote:

Loughborough Students fan in piece.

I wondered what people's thoughts were on a Salary Cap in National One?

There was talk of individual salaries in excess of 50k, and even rumours of one team at the top paying players a percentage of gate revenue!

I'm not sure how much truth there is in this, I'm curious big the disparity in salaries is?


I think there could be a team who has one player on a salary which is close to Caldy's entire rugby budget !

I suspect that the disparity is very great indeed from circa £75 per game played for some clubs to perhaps £3,000 per game for others........
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Park Ranger View Drop Down
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Direct Link To This Post Posted: 27 Feb 2018 at 12:20
50k ??? Is that per match or season or per 5 years? Call me stupid if you like but sanity challenges vanity
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Fat Albert View Drop Down
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Direct Link To This Post Posted: 27 Feb 2018 at 14:24
Not necessarily wholly on topic

Coventry's most recent public accounts date from May 2017, as a qualifying organisation they do not include a P&L so it is not possible to identify playing costs. 

However, the balance sheet indicates that there was a trading loss of £277,502 in the year ending May 17.

If one assumes 30 paid players in the squad, the 2016-17 financial year saw a £9,250 per player loss!

If this is correct, the loss is likely to be greater than the playing (which includes coaches, medical, transport, etc.) budget of many if not most teams in National 1. It is roughly double that of the only team on which I have accurate information. I say again, Coventry's 2016-17 loss is double the 2016-17 playing budget of many clubs... 

I would suggest that it's likely, given the increase in depth and standard of the 2017-18 squad, that Coventry's playing budget for 2017-18 will have increased. However, so likely would their income, success breeds bigger gates and deeper pockets. Will the extra income have returned the company to profit? I think it unlikely.

By the way, I do not mean any criticism of Coventry, they've done what was necessary to achieve the owner's objective, a return to the Championship.




Edited by Fat Albert - 27 Feb 2018 at 14:27
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OldNick View Drop Down
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Direct Link To This Post Posted: 27 Feb 2018 at 15:17
2016-2017 when a significant sum was spent by Coventry on buying back in the lease for the non-playing areas of the site which had been in (safe) overseas hands following the financial issues at the  club a decade ago?

Don't jump to conclusions about where money is or isn't being spent. 
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Rabbie Burns View Drop Down
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Direct Link To This Post Posted: 27 Feb 2018 at 15:33
You will never find out the true salaries paid as they are disguised in so many ways, jobs, gym memberships, additional expenses, stash and possibly other benefits in kind which should be but aren’t included in a players salary.
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Direct Link To This Post Posted: 27 Feb 2018 at 16:16
Agreed Rabbie.

Even if basic amounts were established, they would in many cases be meaningless. A specific example from Coventry, which follows a model used at a number of other NL1 clubs, has been described by the club, but without any individual financial figures being quoted.

A significant number of the Coventry squad are employed full time by the community department of the club - technically an independent commercial organisation. They are employed partially to ensure that they are available to train at the rugby club, including post-match recoveries and fitness assessments during the day on Mondays.  They are also employed so that they can be  placed out into local schools teaching sports and literacy as well as other skills. This school time is chargeable against the schools / education authority. Individual player contracts require them to provide 15-20 hours per week into the schools.

At a very basic, non-specific level, this would mean that about 50% of what those players are paid is accounted against and funded by their placements into the education sector, not in their time spent in matter directly related to rugby.

I have no information as to whether this organisation is commercially successful or not, or whether it is supported by the rugby club. There are certainly external companies who sponsor the Community department rather than the general funding of the club as a whole.

So, even if you could obtain a list of the players retained in this way, and their salaries, they might be paid for 15-25 hours per week by the rugby club, and against the playing budget, and would be paid for the remaining 15-20 hours a week for their educational placements. The fact that schools find it worthwhile to take them must mean that they are not significantly more expensive than teaching assistants.

There is nothing fraudulent or deceptive in all this. Care is taken to ensure that PAYE etc is completely paid, and that taxable benefits are recorded as such, and tax duly paid. But, it results in the situation where the players included are in full time employment by a component of the club, but are not employed as full time rugby players.

Of course other players have primary jobs outside the rugby club, and have to fit club requirements around a regular external job. These are only paid as part-timers, (as well as potentially part-timers in their external career) and would show completely differently as a cost to the club.
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