Red Bull’s investment into Prem Rugby can be used as a “template for revitalising professional rugby in England” amid concerns about losses across the top flight, a new report has said.

The energy drinks tycoon purchased Newcastle in 2025, kickstarting a flurry of investment into Prem Rugby. Since the takeover the club have enjoyed sold out matches and an impressive list of players added to their roster.

And it could end up being the first domino in a series of successful cash injections into Prem Rugby’s 10 teams, according to the third edition of the Leonard Curtis Rugby Finance Report.

The report covers the 2024-25 season, which ended with Newcastle’s takeover. Since then AFC Bournemouth owner Bill Foley has purchased Exeter Chiefs and vacuum cleaner magnate Sir James Dyson acquired 50 per cent of Bath.

There are warnings, however, over Newcastle’s sluggish revenues – in the 2024-25 season they only reached around 25 per cent of the highest grossing club, Harlequins. The report states that wage bills, losses and debts have all risen between the 2023-24 and 2024-25 season, with cumulative revenues falling to £178.9m in 2025, from £182m the previous year. Prem Rugby’s Financial Monitoring Report, published last week, disputes this and states that while revenues were £182m in 2024, they rose the following season – to £189.7m or adjusted to £198.4m.

The positive outlook for rugby investment comes as Gloucester Rugby, Northampton Saints and Leicester Tigers actively engage in stake sale talks.

Red Bull leading way?

Last year’s champions Saints yesterday announced that their losses had halved from £1.8m to £900,000, fuelled by one-off events helping turnover rise from £22.3m to £25.7m. They included hosting a home Prem Rugby semi-final, revenue from staging matches at the Women’s Rugby World Cup, an extra England fixture, and income from having players selected to tour with the British and Irish Lions. It is reasonable to expect the lack of such factors this season will impact turnover for the 2026-27 financial year.

The way Prem Rugby and its clubs finance academy funding prevents Northampton Saints from posting a profit in the region of £200,000, but similar obligations apply across the top flight.

But Saints’ security relies on the notion that “Prem Rugby, the RFU and other clubs play their part in maintaining compelling rugby competitions to ensure rugby is a successful and flourishing sport,” according to the accounts.

Professor Rob Wilson, co-author of the report, stated: “The move towards a franchise-style model is an encouraging development for English rugby, and provides a welcome step for beginning to solve the game’s financial challenges.

“New capital is encouraging, but access to investment should not be confused with financial sustainability. The real test is whether clubs can convert that investment into stronger revenues, wider audiences and viable long-term business models.

“Without that shift, we risk simply financing the same problems under a different structure.”