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Iain Morrison: Exiles come in from the cold

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Published Date: 30 March 2008
SCOTTISH RUGBY could do with a good news story after a less than successful Six Nations campaign, so here it is. Almost exactly a year after the Borders was closed, Scottish rugby is about to get its third professional side back, only this time it will be based at the exiles club London Scottish rather than in Galashiels or Stirling.


According to one source, the SRU board met last December and agreed in principle the union's support for the venture. They reconvened last Thursday and were expected to approve Murrayfield's contribution for the new team but no agreement was for
thcoming. One suggestion was that the financial goalposts had moved, with the union now offering less than had previously been agreed.



This delay has caused huge frustration among the Exiles and their backers who are going ahead with the project with or without the SRU's help. Still the latest hitch is not expected to prevent the two sides coming to an eventual agreement although no-one knows for sure exactly when that might be.



While one insider put Murrayfield's mooted contribution to the new venture at approximately £250,000 per annum, the real cost to the union is considerably less because much of the support, as and when it happens, is likely to come in the form of players' wages which the union would be paying in any case. Part of the plan is to send fringe players from Scotland's existing pro teams down to London where they will get regular game time at a decent level with London Scottish. The club will pay for their accommodation in the capital while the union will continue to pay their wages.



Since the players need this game time as much as London Scottish needs an injection of top-class young professionals, it would not suit anyone's best interests to have SRU chief executive Gordon McKie drag his feet for too long. While union support is undoubtedly welcomed by the Exiles, it is not central to this new scheme. On their own initiative, the London Scottish suits have rounded up not one but two different sets of investors who are both going to pump money into the Richmond-based club in an effort to gain National One status.



The first consortium is headed by former Scotland international, journalist and broadcaster Chris Rea who now works for the IRB. He has acted as a facilitator in bringing together several like-minded Scottish rugby supporters who are based in the south of England and who are all keen to see an upswing in Scotland's on-field fortunes. It is understood that the group includes Tesco chairman David Reid, former chairman of HSBC Sir William Purves and UBS investment banker Iain Nimmo.



The second group consists of three men; former Scotland winger Kenny Logan who played for the club in recent years, property developer Gerard Porter and Greg Knight, who runs the financial services company the Welbeck Group. A fearsome competitor for the Exiles back in the 1980s, Knight made it clear his motives were largely altruistic.



"It's my old club and it p****s me off seeing them struggle against some junior side. I want to see them back at the same level that they were when I played the game. I am quite aware that I will be losing all my money, never to be seen again, but I have been quite successful and I want to put something back."







All three men originally wanted to build a professional rugby franchise in Stirling with Aberdeen businessman Graham Burgess. While Burgess is not a part of this consortium, he has not ruled out getting involved at some time in the future.



London Scottish currently play in England's National Three (South) where they were lying in fifth spot ahead of this weekend's action. Promotion is out of the question for this year but, following this cash injection, the club will actively seek and expect the two promotions that will take them into National One. Presuming they are successful, the club plan to assess their options once they have reached what is effectively England's second division. Any immediate move into the Premiership is unlikely due to the costs of competing in the top flight compared to surviving in second division rugby.

In National One, the Exiles will come across the likes of Exeter Chiefs, Bedford Blues and the Cornish Pirates. This level of rugby is fully professional and there are strong rumours emanating from England that English rugby may witness a two-tier Premier League established, with both leagues consisting of 12 teams and both running end of season play-offs. There has even been some talk of ring-fencing these two professional leagues which means that London Scottish cannot waste any time in joining the elite.



The money involved in getting them there is not huge. Something like £500,000 has been promised by the Logan consortium over a number of years while Rea's group will add approximately double that amount over the same period. When the club's own sponsorship and gate receipts are added to the SRU backing, as and when it appears, the Exiles should be looking at annual budgets approaching the £1m mark, enough to see them comfortably into National One.



Presuming the problems that are preventing Murrayfield's active support are ironed out the plan still needs the green light from the London Scottish membership who will be asked to vote at an EGM.



It is not a done deal. Older heads will remember with horror the club's last flirtation with professional rugby. Tony Tiarks gained control of the Exiles back in 1997 and withdrew in the spring of 1999 as the club – then in the top flight – slipped into administration. London Scottish's professional arm "merged" with London Irish but quickly disappeared. The Irish wore a blue band around their shirts for one season before even that pathetic token was forgotten. London Scottish's amateur wing survived and started again at the very bottom of the English league system. They have clawed their way back up through the regional divisions, securing five promotions in seven seasons, and this season they returned to national league rugby.



To prevent another such calamity a new company will be set up which will have certain rights given it by the club, to play rugby at Richmond using the name and colours of London Scottish. The investors will be issued equity in this company which will not affect the London Scottish amateur sides in the event that the venture goes pear-shaped.



It seems like a win-win situation for everyone. The investors, most of them members of London Scottish and all of them Scottish rugby supporters, get to bask in the warm glow that comes from helping their club and country. The club gets a helping hand up the leagues which they would struggle to climb any further without this cash injection and, when the SRU finally clambers aboard, they will get a third pro-team to help develop young Scottish talent at a fraction of the cost they spent on the Borders. Obviously England's National One league is not as high a standard as the Guinness Premiership but it is probably on a par with the bottom of the Magners League.



The new set up will mean dramatic changes at London Scottish who will be advertising for a club coach/director of rugby and recruiting new players. Indeed a list of potential players has already been sent to the club by Murrayfield and only the SRU's failure to agree the budget has prevented any approach to those in question being made.



As things stand the exile club has more Welsh than Scots, with less than one third of the starting team on any given Saturday likely to own their own kilt. In its new guise the club will remain open to all comers but, while European employment law prevents the club from making it official policy, it seems likely that the London Scottish 1st XV will once again regain their distinctive tartan flavour.





Page 1 of 1

 
1

donald,

glasgow 30/03/2008 08:15:33
Labour's London Scottish Plays for Engerland.
2

Foresight,

By the Water of Leith 30/03/2008 08:36:39

This sounds like a good end to a sad tale. At the dawn of professional rugby the SRU, alias Messrs Telfer and McGeechan, turned up their nose at the willingness of Mr Kennedy, now owner of Sale, to back London Scottish. The subsequent history of London Scottish does not make good reading but their endeavour at climbing back from the lowly position they were put in by the RFU deserves great credit to its Committee and supporters. With backers such as David Reid and the others mentioned above I am sure they can go further as a professional outfit and once again be a force in providing players for the national side.

The comments of #1 & 2 are derisable and show a complete ignorance of the considerable contribution that London Scottish has made to Scottish rugby over the years. The mooted proposals deserve the support of all rugby loving Scots.
3

Westcoaster,

perth 30/03/2008 09:06:30
What is the benefit of scottish rugby to send pro players who aren't getting a game up here to play for London Scottish in a division the same as div2 up here hardly helping the Scottish game. Melrose smashed Rotherham this year Boroughmuir beat otley both sides in the better end of the english game and yet the powers that be bemoan the club game.
4

wright,

30/03/2008 09:36:31
This is a brilliant for scottish rugby.I would liked to have seen London Scottish playing in the Magners league.However ,I do think people in Scotland are too optimistic regarding the playing standard of Scottish leagues.I would suggest that London Scottish are already comparable with at least the bottm half of the Scottish Premier.
5

Gala Doug,

Caspian sea 30/03/2008 10:05:25
A third team has to be welcomed especially if the finances are there.
It is slightly ironic however that fringe players will be allowed to go and play for London Scottish at the level they are at present but a couple of years ago fringe Riever "Gala" players were not allowed to play for Gala in their time of need, they needed to travel to that rugby bastion which is Biggar one division up.
Still a good initiative though, Scottish used to have a great set up with lots of youths coming through their club.
6

EL PRESIDENTE - aka Wacko Jacko,

Below the parapets, observing flying pigs 30/03/2008 10:35:35
Many a slip 'twixt cup and lip, eh Morrie?

This'll need SRU AGM approval. As will my own re-election.
7

jbascotinengland,

30/03/2008 14:27:46
If the SRU have all these contacts with large amounts of cash to spend can they not set up a few more pro-teams in Scotland to play in the Magners league?

Surely these consortiums could look at setting up teams in the Borders, Stirling/Perth or Aberdeen? Better would be if the SRU offloaded Edinburgh and Glasgow as well as assisting in the setting up of two other pro-teams (probably the Borders and Aberdeen) and then ran a 5th team as a Connacht style development side for young Scottish players in Stirling/Perth based around the Scottish Institute of Sport.

Although for that to happen and be successful the SRU would need to fully hand over control to those running the clubs and that's unlikely to happen as they seem to love the power.

There would also need to be a better link between the clubs and the pro-teams and a significant amount of investment in getting supporters to the games.

Supporting London Scottish is a good step but it won't solve the problems facing Scottish rugby. Especially if the majority of the team aren't even Scottish! Also there is no chance of LS getting into European competitions so the players won't be getting a chance to compete in big matches against top sides infront of large crowds.
8

Stan, ,

Muddayfield 30/03/2008 15:19:43
Shame on you Iain .

How on earth does this constitute a third pro-team ?
Some investors are putting money into London Scottish regardless and the SRU may or may not add some of their own !
When the Borders closed there were 40 full time pros playing in the Magners league and ERC .We were told at the time no money would be saved and Glasgow would recieve additional investment .
Now it seems the SRU are prepared to invest in an English team playing in the far reaches of the English leagues which is already backed by agroup of millionaires .

Am I missing something here ? Where are the Scottish Rugby Council in all of this madness ?
9

sam09,

london 31/03/2008 14:02:05
I think alot of the people commenting on this article need a real wake up call. the standard of scottish club rugby is poor, many of the premier one clubs would struggle in national three south and north. For example, heriots played tynedale RFC (national three North) and were put to the sword by over 50 points. Boroughmuir (who apparently are by far and away the storngest side in scotland this season) also played them and the score was a hapless 0-0 according to the clubs website anyway. I think it is a positive move from the sru who are hoping that a better standard of rugby that is avaiable down south will benefit Scottish players at very little extra cost, as well as the bigger fan base a london club will inevitably gain in comparison to the dismal crowds that Scottish clubs get. This move should be supported by scots fans, and not shuddered at.
10

Colt,

31/03/2008 14:36:15
This is another example of SRU incompetence, but this time 2 or 3 fold. Incompetent in that a decision cannot be made but truly ridiculous to be investing substantial sums in a club outwith Scotland which cannot insist (due to employment law) on fielding a mainly Scottish side, and all this in a situation where the total sum devolved to clubs in Scotland is around £250k p.a.

Unless the clubs in Scotland regain some power in the SRU corridors they may as well come out of the leagues and cup and just do their own thing rather than have their players taken away and then sent to London instead of trying to reinvigorate the club game north of the Border. But are they prepared to go to the SRU AGM and insist on the required changes?
11

royco,

01/04/2008 06:52:22
Some people are getting things out of perspective here. It seems simple enough.

Private Scottish investors are aiming to put £1.5m into London Scottish. Great news, money coming into the game.

There are lots of Scots exiles playing at age grade and in the LS academy who will come through and play at a professional level as a result. Great news, a bigger pool of Scottish players to choose from.

The SRU's financial contribution looks to be NOT giving much cash but rather loaning some of the fringe Pro players from Glasgow and Edinburgh. Great, instead of kicking their heels and not getting game time, they'll be playing competitive rugby and helping get LS up the leagues.

We all know that two Pro teams is too few to support the national team. If we can get a third one on the cheap like this, outwith Murrayfield control too, that has got to be positive news surely?

The issue of how much the SRU gives the Scottish clubs is an entirely different and larger matter. The sums at the moment are derisory, £250K out of an income of £25m, just 1%. That cannot endure and has to change pronto, as does the SRU's parsimonious travel scheme. Now, there's a big subject for an AGM.






12

bigmac55,

01/04/2008 19:30:57
Viewed from here this is exactly the right approach.
13

bigmac55,

London 01/04/2008 19:31:58
Viewed from here this is exactly the right approach.

No matter how much you love Scttish rugby and want to help it, any proposal has to in time be financially self-supporting or it will forever be at the whim of individual money-men.

The problem for investors is that like the SRU they can't see any way to break even with a third side in Scotland; in the end you have to generate sponsorship, gate money,run fund-raising events etc, and for all that there is a lot more potential in London than anywhere else; On some weekends even now, LS gets bigger crowds than the pro sides in Scotland.

It is also now feasible to break even or even make a profit playing pro-rugby in England; two or three premiership sides are already in the black and more would be if they chose to manage their budgets more cannily. If I had money to invest, I would want to put it into an operation that could be viable, not into a bottomless pit like the Borders. I suspect the investors in this don't expect a profit, but they also don't want a lifetimne commitment to pour money in.

The reason the SRU backed the academy (and McGeechan was 100% behind this) is because there are more Scots-qualified boys playing the game inside the M25 than there are in Scotland.

In the past LS provided plenty of internationals (between 150 and 220 depending on how you do the sums)and it can do again. Hastings, Wainwright, Burnell, Eriksson and Morrison himself played international rugby while L Scottish was in what is now National One in England. When a player joined from Boroughmuir this season he did not look out of place.

Hopefully the SRU will finish doing its sums and make its commitment monetary, not just moral; it is right to back this initiative - the SRU will get a lot more bang for its buck backing LS than it would spending significantly more more to run a pro-side in Scotland where no one will go to watch it. Indeed, more than it DID get when it funded the Borders.

 

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