The four Irish provinces are to contribute up to 30% of the cost of their players' national contracts from next season, the Irish Rugby Football Union has announced.
The move is the key change to the union’s funding model and was agreed following an external review overseen by a steering committee that consulted the provinces, Rugby Players Ireland and the IRFU.
Until now it was understood that the union paid the full cost of national contracts.
Leinster’s Andrew Porter, Dan Sheehan, Tadhg Furlong, James Ryan, Robbie Henshaw, Garry Ringrose, Josh van der Flier, Hugo Keenan and Caelan Doris; Ulster’s Iain Henderson; Connacht’s Bundee Aki, and Munster’s Tadhg Beirne are believed to be the players currently on central deals for next season, while Leinster scrum-half Jamison Gibson-Park is reportedly close to a new contract.
The recommendations of the review were agreed by all parties, said the IRFU.
"A key focus of the review was to safeguard the success of the men’s national team, which generates more than 80% of IRFU annual revenues, whilst also ensuring the four provinces remain competitive," said the union.
"To support successful national and provincial teams, Irish rugby requires a strong pipeline of talent coming through the pathways of all provinces on a consistent basis.
"The IRFU remains steadfast in its commitment to ensuring that rugby in Ireland remains financially sustainable.
"Annual funding of approximately €40m will be provided by the IRFU to provinces on a more transparent and equitable basis, including new incentives based on future growth of income from EPCR and URC competitions plus a new matched funding programme to help drive fundraising efforts and additional investment in the domestic game."
IRFU CEO Kevin Potts (above) added: "With 80% of the union’s income derived from our men’s national team, it is imperative that we protect that income at all costs as it is essential to delivering our expanding women’s rugby programme and ongoing support of our domestic game.
"At the heart of our existing model is the central control of player contracting and management, which is admired by many.
"A key change to the funding model will see provinces contribute up to 30% of the cost of a national contract for their players, with this level to be reviewed annually.
"We hear loud and clear from our players that Ireland is the best place for them to play rugby, owing to our exceptionally high player welfare standards and game management, and that is something of which we are immensely proud.
"The strength of rugby in Ireland is aligned to having four healthy, competitive provinces and the IRFU remains committed to delivering this in a financially sustainable manner.
"In essence, this new model is simpler, more transparent, more equitable and delivers better incentivisation and alignment.
"We will however continue to review the model annually which will also need to take account of the pending release of new strategic vision for rugby in Ireland."
With 10 Leinster players featuring on the list, the new format is set to impact heavily on the Champions Cup finalists.
The deals are believed to be worth up to €500,000 per year.
Having a heavily subsidised wage bill contributed to the province's ability to sign the likes of non-Irish qualified players RG Snyman and Jordie Barrett for next season, which drew the ire of fans of the other provinces, who only currently boast one central player each.
Listen to the RTÉ Rugby podcast on Apple Podcasts, Spotify or wherever you get your podcasts.
Watch Leinster v Toulouse in the Investec Champions Cup final on Saturday from 2pm on RTÉ2 and RTÉ Player, follow a live blog on rte.ie/sport and the RTÉ News app and listen to commentary on Saturday Sport on RTÉ Radio 1
Follow the RTÉ Sport WhatsApp channel for the best news, interviews, analysis and features, as well as details of our sports coverage across all RTÉ platforms
