Welsh Rugby Union confirms Ospreys or Scarlets will be cut

Wales are to go ahead with plans to cut their number of professional franchises from four to three, spelling the end for either the Ospreys or Scarlets, both former winners of the United Rugby Championship.

The Welsh Rugby Union on Wednesday confirmed the proposed change to the professional game and plans to establish three men’s teams from the 2028/29 season – one based in the capital, one in west Wales and one in east Wales.

Cardiff, owned by the Welsh Rugby Union, and Dragons, an independently backed business, are set to be given licences, leaving Swansea-based Ospreys and Llanelli-based Scarlets to compete for the remaining spot.

Ospreys have won the URC, in its previous guise, four times, most recently in 2012.

Scarlets have been champions twice, most recently in 2017.

“The WRU Board has examined in detail a range of factors when determining the three future licence areas and has confirmed that only incumbent teams will be considered eligible for a licence. This means, contingent on the agreement of the final licensing terms, Dragons and Cardiff Rugby would be offered the respective east and capital licences,” it said in a statement.

The licensing process is scheduled to begin in December and conclude by the end of the 2026/27 season, at the latest, the WRU added.

Before that, the union will begin the process of creating a “future operating model for the men’s game” in consultation with all the clubs, thrashing out all financial considerations.

The parlous financial state of rugby in the principality, where more than 50% of their turnover comes from internationals, has led to the changes as Welsh rugby remains in crisis with dramatically poor results since the last World Cup in France.

Wales topped the world rankings briefly in 2019 and won the Six Nations title two years later.

However, after reaching the 2023 World Cup quarter-finals, they have slumped down to 11th in the World Rugby rankings following an unprecedented 18-match Test losing sequence and record home losses against England, Argentina and South Africa.