Sixways first hosted Premiership rugby for the Worcester Warriors in 2004
Worcester Warriors owners say a move into administration would have “catastrophic consequences”.
Five Worcestershire MPs have called on the Government to place the troubled Premiership club under administration.
However, owners Colin Goldring and Jason Whittingham said they were “disappointed” by the MPs’ statement.
“Avoiding administration is in the best interests of the club’s creditors, let alone its players and staff,” said Whittingham and Goldring.
Robin Walker, for whom Sixways is in the constituency, Harriett Baldwin, Rachel Maclean and Mark Garnier issued a statement Monday morning saying they have urged the Department for Digital, Culture, Media and Sport to act [DCMS].
But Walker told ` Hereford & Worcester that her calls are now also backed by former Cabinet member Sajid Javid, MP for neighboring Bromsgrove, who “fully supports this approach”.
The only MP within the county not included is Mid Worcestershire’s Nigel Huddleston, the DCMS minister, who is barred from having a say in the Warriors crisis if it could be perceived as conflicting with his ministerial responsibilities .
The Premiership, the top division of English rugby union, has agreed that the Warriors can start the new season – and the Warriors’ owners say so late payments to employees for their August wages have now been sorted.
But the club that has been owned by Whittingham and Goldring still facing a resolution application from HMRC as of December 2018, who are owed over £6million, as well as a long list of other creditors – and they have been kept afloat during the Covid pandemic by a £14million Sports Survival Package loan.
There has been talk of potential new owners, but a consortium involving former Warriors chief executive Jim O’Toole is subject to the club being put into administration, which would mean an immediate automatic deduction of 35 points.
“We want to make it clear that we have fully briefed the DCMS on the financial condition of the Worcester Warriors,” said Whittingham and Goldring said in a statement.
“They are aware of the options that are on the table to save the club, together with the disastrous impact that any administration has on the club.
“DCMS knows that three groups of buyers are in discussions with us. All three buyers are serious offers and all deals considered would prevent the club from going bankrupt. One of the buyers is moving particularly quickly.”
They added: “Pursuing a deal that includes payment to all creditors as well as working capital serves the club and the local community best.
“Forcing Worcester Warriors into administration, as these MPs have asked, risks the club losing its players and staff, its P [Premiership] share, pay down debt to local businesses and HMRC and impose tough RFU sanctions.”
Robin Walker MP has represented Worcester, which is home to Sixways Stadium, since 2010
The latest statement from local MPs follows a statement last week in which they urged the club to “focus on protecting its elite rugby status” and clarified that development at and around Sixways “will only be supported if she supports sporting and community goals”.
They now say that the DCMS must “trigger administration as soon as possible”.
Worcester MP Walker said: “Enough is enough. I wanted to take every opportunity to find a solution that would prevent the club from going into administration but it is now clear that that is not on the horizon.”
West Worcestershire MP Baldwin said: “It is with great regret that the appalling mismanagement of the club under the current owners means I have to support this difficult decision to put the club into administration. This now seems to be the only way forward.
Maclean, MP for Redditch, said: “The future of the Warriors is vital across the county, including my constituency. I know the great affection and esteem shown to her. Securing their future is vital for all of us.”
Garnier, MP for Wyre Forest, said: “Cecil Duckworth’s immense legacy of warriors must be protected. I join my Worcestershire colleagues in taking action to protect this wonderful asset for our county as soon as possible.”
“We understand that we are under scrutiny and that our actions are being questioned,” the owners added. “Our best response to this is to stay focused and devote all our time and energy to getting the best deal for the club, its players, staff, partners, sponsors and creditors across the board – and we continue to do that. “
The Warriors are expected to start the new Premiership season – their 17th in the top flight – with a trip to London Irish on Saturday.
However, it is not clear who Rugby director Steve Diamond has to choose from as multiple Warriors players asked to be released from their contracts last week due to late payment of wages.
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