Premiership Rugby is in a race against time to strike a TV rights deal with TNT Sports before the Premier League auction ends. TNT, formerly known as BT Sport, is looking to negotiate a discount on its next contract for Premiership Rugby rights. With three clubs suspended due to a financial crisis in English club rugby, advisers are urging Premiership Rugby to reach an agreement quickly. TNT is expected to bid for football matches as well, and industry insiders believe that Premiership Rugby could secure a better deal if talks are wrapped up promptly.
The current three-year rugby contract, worth £110m, has been deemed as overpaid by some. The Premiership is facing a crisis with three teams dropping out, including London Irish, Wasps, and Worcester Warriors. TNT argues that the dropouts have reduced the value of the TV rights and will seek a discount on the next three-year contract.
Andrew Georgiou, an experienced broadcasting executive, will oversee the simultaneous talks for football and rugby rights. He aims to maintain TNT’s presence in sports rights while reducing costs for Warner Bros Discovery, which is dealing with a significant debt pile.
A decrease in income from broadcasting rights would further impact Premiership Rugby clubs, which are struggling to professionalize and create sustainable business models. The league has been ring-fenced for the past two seasons, resulting in a decline in viewing figures, especially for matches involving bottom-ranked teams. The upcoming season will introduce a play-off between the bottom-ranked Premiership team and the top-ranked Championship team.
In addition to the TV rights negotiations, Premiership Rugby is also in talks with the Rugby Football Union (RFU) to establish a new Professional Game partnership worth £128m over the next four years.
As broadcasters compete for top-flight football rights, Italy’s Serie A has sold its TV rights to Sky Italia and DAZN for a combined €4.5bn. However, France’s Ligue 1 has had to cancel its rights auction due to a lack of suitable bids.