As a rugby fan it is pleasing to see that Wasps, London Irish and Worcester are looking to make a return to Championship Rugby, which will no doubt see them push for promotion into the Premiership.
I think this has the potential to be big for the finances of top flight rugby, additionsl teams would bring additional matches leading to more money through match day income, TV rights and so on. The finances of top flight rugby have been subject to scrutiny of late and whilst I am sure things are going on behind the scenes in a bid to make clubs more viable there has been limited outward press that could allay concerns of fans.
However, a lot is going to depend upon whether the top tier expands back to 12 or more teams to accommodate this or if it remains in its current ten team format with the newly introduced promotion and relegation playoff.
Depending upon how this season turns out there is a possibility that the Championship next season contains one current Premiership team and the three phoenix clubs all vying for one promotion spot. This could turn into an arms race and that has the potential to be detrimental to long term prospects of a club if they spend big money in search of the top flight only to fall short.
As we have seen multiple times in the football league the consequences of this can result in an insolvency process. Whilst the financial stakes are arguably lower in rugby, as the recent insolvencies have shown these carry a significant impact on not just the club but the wider rugby union ecosphere.