Nottingham Forest, Leeds United and Derby County could use this loophole to keep players on furlough until Championship restart
Nottingham Forest have already lifted their players out of furlough and have returned them to training ahead of the Championship's restart.
by Tom Leach, John McDougallRugby union’s potential restart and how their players could return to training while remaining on furlough might present an example
that Nottingham Forest, Leeds United, Derby County and their Championship rivals could take inspiration from.
The Rugby Union Premiership is hoping to resume its season by July, with training to be resumed by an initial date of June 8, though this may happen sooner.
And before the players return to training, the Daily Mail is reporting that Her Majesty’s Revenue & Customs (HMRC) has issued a clarification which has been shared with Premiership clubs at a Professional Game Board meeting.
The report states HMRC has advised a return to initial training would not be seen by the taxman as breaking the terms of the Government’s furlough scheme.
This is because players would neither be earning revenue or providing services for their employers by doing this.
However, by the time matches come around in the division, players would have to be taken off furlough.
Under terms of the scheme, the Government has offered to pay up to 80% of an employee’s wages up to £2,500 a month, with more than eight million people being paid for via this means.
According to the BBC , Chancellor Rishi Sunak is due to outline details of how employers are going to be asked to help pay furloughed workers wages, with the report saying the Treasury has ‘not denied’ claims that firms would be sought to contribute 20% of staff pay by August.
The Mail report adds the update has eased the concerns of clubs that resuming action may cripple finances.
In the EFL, several clubs across the Championship, League One and League Two, have taken up the option of the furlough scheme for both players and both non-playing staff.
Though many Championship clubs, like Forest, have now resumed training with their players with a view to returning to action, the rugby union update could also be a boost for clubs in League One and League Two, where finances are typically lower and clubs are more reliant on matchday revenues to bring money in.
Sides in League Two have voted to end the current season, while League One clubs are yet to come to a conclusion.
With seemingly no games on the horizon for the foreseeable future in the bottom two divisions of the EFL, the rugby union update could be key for clubs not to face the possibility of paying out salaries without matches taking place.