(Reuters) - Worcester Warriors have been suspended from the Premiership for the remainder of the season and will be relegated to the second tier after entering administration last month, England's Rugby Football Union (RFU) said on Thursday.
Worcester, who were served with a winding-up order over unpaid tax reportedly worth six million pounds ($6.70 million), went into administration after failing to meet a RFU deadline to prove they could operate amid financial difficulties.
The high court on Wednesday also ordered a part of the club to be liquidated, leading to the termination of player and staff contracts.
"Following a meeting of the RFU's Club Financial Viability Group today, the RFU can confirm the suspension of Worcester Warriors from the Gallagher Premiership and Premiership Rugby Cup for the remainder of the 2022/23 season," the governing body said in a statement.
"It has taken the decision to suspend the team in order to prioritise the space and time to work with (administrators) Begbies Traynor to support the prospect of securing a deal with the right investor, giving the club the best chance for a long term sustainable future."
Worcester's co-owners said last month that they had found three interested buyers and the deal was moving at a "rapid pace".
The RFU added that any potential deal would include a requirement for the payment of all rugby creditors including any outstanding salaries owed to staff and players.
"Our priority is to find the best long-term solution for Worcester Warriors and we are encouraged by the progress the administrator has made in such a short period," said Premiership CEO Simon Massie-Taylor.
($1 = 0.8958 pounds)
(Reporting by Dhruv Munjal in Bengaluru; Editing by Toby Davis)
