The landscape of Welsh rugby is bracing for its most dramatic shake-up in two decades, as the Welsh Rugby Union (WRU) unveiled a radical proposal on August 19, 2025, to reduce the number of professional men’s teams from four to just two. This bold move, aimed at rescuing a sport mired in financial and competitive struggles, has sent shockwaves through the rugby community and ignited fierce debate among fans, players, and stakeholders alike.
Currently, Wales boasts four professional United Rugby Championship (URC) sides: Cardiff, Dragons, Ospreys, and Scarlets. Under the WRU’s new blueprint, only two organizations would remain, each fielding both a men’s and a women’s team. The plan is the brainchild of WRU director of rugby and elite performance Dave Reddin, chief executive Abi Tierney, and chair Richard Collier-Keywood, who believe this is the “optimal solution” for safeguarding the future of Welsh rugby.
The WRU’s proposal is nothing short of transformative. Each men’s squad would be composed of 50 players, with an annual playing budget of £7.8 million. The women’s squads would feature 40 players each, marking a significant investment in the women’s game and a clear commitment to gender parity at the elite level. These teams would be funded by the WRU under licenses, while commercial operations would fall to owners or investors. The two organizations, which could be new entities or evolved from existing teams, would be charged with developing predominantly Welsh-qualified talent, though there is a planned rethink regarding non-Welsh qualified players.
The restructuring is set to unfold in two phases. Initially, the two sides would operate from separate sites, with a transition to central national academies for both men’s and women’s players and staff. Phase two envisions a move to a single national campus, housing 400 people—including national staff, professional teams, and academy members. This ambitious center of excellence would serve as the beating heart of Welsh rugby, fostering collaboration, innovation, and high-performance culture.
But how did Welsh rugby reach this crossroads? The warning signs have been flashing for some time. The WRU declared in July that the current system was “failing and unsustainable,” a sentiment echoed by the sport’s declining fortunes on the pitch. Wales’ men’s team recently endured a record-breaking run of 18 consecutive international defeats, plummeting to 12th in the world rankings. Meanwhile, the four regions have struggled in both the United Rugby Championship and European competitions, with financial woes compounding the sporting crisis.
The situation reached a tipping point earlier this year when Cardiff, one of the flagship regions, entered administration. The WRU stepped in, absorbing £9 million in club debts and taking over ownership. This move, while stabilizing Cardiff, heightened tensions among the other regions. Scarlets and Ospreys, in particular, demanded clarity from the WRU, voicing concerns about potential favoritism toward Cardiff. While Dragons and Cardiff signed the new Professional Rugby Agreement (PRA), Scarlets and Ospreys held out, citing unresolved “key issues.” The WRU responded by signaling its intent to end equal funding for all four teams, opening the door to the current proposal for consolidation.
The last time Welsh rugby underwent such a seismic shift was in 2004, when the Celtic Warriors were disbanded after just a year, reducing the number of professional regions from five to four. That move, controversial at the time, now seems almost modest in comparison to what’s on the table today.
Amid this upheaval, the URC itself is facing a potential transformation. Reports have surfaced that the league is considering a major expansion into the United States, with two new east coast teams possibly joining the competition. According to the Daily Telegraph and other sources, URC bosses have held exploratory talks about creating new franchise teams—distinct from existing Major League Rugby outfits—to capitalize on the upcoming 2031 Rugby World Cup in the USA. The aim is to grow the game globally and tap into lucrative new markets, with “big money on the table” for such an expansion.
URC chief executive Martin Anayi addressed the possibility of expansion in June, stating, “As the URC, we have always had expansion in DNA. We have been the Celtic League, and we moved, and we have tried to grow each time. And we have done that. I think we have genuinely made it a better league. I think it is important that we continue to look outwards. But also, the bar is very high because, for every game you add, there is a player welfare issue to engage with. And that is something you have to make sure you aren’t compromising.”
Logistical challenges abound, particularly for the four South African teams—Bulls, Lions, Sharks, and Stormers—who already face significant travel demands. The addition of US-based teams would further complicate scheduling and player welfare, issues the URC is keenly aware of. Anayi emphasized, “If we do expand in the future, it has to be in the right way, and we don’t fall into the traps of those who have done it in the past, and it hasn’t been successful.”
For now, any changes to the URC’s lineup won’t take effect in the 2025-26 season. The WRU’s announcement triggers a six-week consultation period, during which all four Welsh regions have vowed to fight for their survival. Stakeholders will have their say, and the final decision is expected by the end of October 2025. Meanwhile, the URC’s expansion talks are still in the early stages, with no concrete timeline for when—or if—American teams will join the fray.
The WRU’s restructuring plan also includes a renewed commitment to strengthening the domestic game beneath the professional tier. There are pledges to raise the standard of the Super Rygbi Cymru competition and to establish a senior women’s domestic league, addressing the acknowledged lack of high-quality club rugby below the Celtic Challenge, where teams like Gwalia Lightning and Brython Thunder currently compete.
Reactions from the affected regions have been swift and passionate. Dragons have insisted that elite professional rugby must continue in Gwent, while Ospreys remain committed to their planned move to a revamped stadium at St Helen’s in Swansea for the 2026-27 season. Scarlets, buoyed by new investors, are also fighting to secure their future. The uncertainty has united the regions in a common cause, even as they prepare to make their case during the consultation period.
As the dust settles, one thing is clear: Welsh rugby stands at a pivotal moment. The decisions made in the coming weeks will shape the sport’s future for a generation, determining not just which teams take the field, but how Wales competes on the global stage. With financial pressures mounting and international ambitions growing, the WRU’s gamble could either herald a new era of success—or risk alienating the very communities that have sustained Welsh rugby for generations.
The next six weeks promise intense debate, high-stakes negotiations, and no shortage of drama. The eyes of the rugby world are fixed firmly on Wales, waiting to see whether this bold vision will deliver the revival so desperately sought—or spark further turmoil in a proud rugby nation.
