Leicester Tigers learn punishment following salary cap investigation

Leicester Tigers must pay more than £300,000 in fines and taxes following the conclusion of a Premiership Rugby investigation into salary cap compliance.

But Steve Borthwick's side, who are 12 points clear at the top of the Gallagher Premiership, will not face any points deductions for the historic breaches committed between 2016 and 2021.

The investigation was initiated by Premiership Rugby’s Salary Cap Director, Andrew Rogers, using the strengthened powers introduced following a review of the regulations in 2020.

In summary, the investigation found that Leicester Tigers, and one or more club commercial partners, entered into arrangements whereby a third-party company made payments to the image rights companies of Leicester Tigers players. These payments should have been declared to the salary cap director as salary, but they were not disclosed.

In each of the four seasons from 2016-17 to 2019-20, Leicester Tigers exceeded the salary cap by an amount below the ‘overrun’ limit above which a formal charge may be brought for an alleged breach of the regulations.

The club has accepted the findings, which means there will be no further disciplinary process or appeal. The level of fine imposed in these circumstances, known as an overrun tax, is calculated by a formula set out in the regulations.

As a result of the previously undisclosed payments now being counted as salary, the Salary Cap Director has determined that Leicester Tigers exceeded the Salary Cap by the following amounts:

During the relevant period, the Salary Cap Regulations stated that for the first £50,000 of overrun, a club would pay a tax of £0.50 for every £1 of overspend. Beyond the first £50,000 and up to £200,000 of Overrun, the tax is £1 for