Welsh rugby "would receive a multi-million pound windfall" if Ireland is successful in its bid to host the 2023 Rugby World Cup, according to Sion Barry of WALES ONLINE. It comes from a "reciprocal agreement the Welsh Rugby Union struck with the French, England, Irish and Scottish rugby unions" that enabled Wales to be the main host of the 1999 Rugby World Cup. In return for backing the WRU, the other nations hosted some of the games during that tournament and "shared in profits generated." The Irish Rugby Football Union is understood to have benefited by around £4M from its reciprocal deal with the WRU. The agreement between the WRU and IRFU in '98 has "a clause stipulating that if Ireland ever hosted the tournament it would effectively be bound to pay a fee" to the WRU of at least 20% of the net financial benefits generated -- "effectively the profit after accounting for costs" and a fee paid to World Rugby. How much could the WRU receive if Ireland hosts the 2023 Rugby World Cup? It will depend on the "commercial success of the tournament after taking into account associated running costs" and a £120M ($152M) pre-paid fee (financed by the Irish Government and the Northern Ireland Executive) to Rugby World Cup Ltd. -- the wholly-owned subsidiary of World Rugby. Whatever the eventual profit margin, the WRU "would anticipate securing a significant seven figure sum -- thanks to the canny commercial deal" struck by then CEO Glanmor Griffiths with the other unions back in '98. It is estimated that hosting the entire tournament in Ireland would generate an economic benefit of more than £650M ($832M), with the tournament reaching a global TV audience of 4 billion. A RWC in Ireland in '23 is expected to attract nearly 500,000 visitors. The number of tickets sold would be 2 million (WALES ONLINE, 12/13).
