(Reuters) -The Welsh Rugby Union said on Monday its current system with four regional clubs was "financially unsustainable" as it announced formal talks aiming to restructure the domestic professional game by the 2027-28 season.
The WRU cited a lack of on-field success as the primary reason behind it considering a "radical strategy" to improve the sport, saying the decision was taken after 18 months of extensive work, including consultation with the clubs and players.
"The WRU Board has already publicly confirmed it does not see the system continuing with the current model of four equally funded regional clubs in the senior men's game," the WRU said in a statement.
"The current rugby system in Wales, which includes national teams, professional clubs, community clubs, academies, universities and schools isn't delivering consistent success on the field and isn't currently financially sustainable given the likely investment required."
Four professional clubs -- Cardiff Rugby, Scarlets, Ospreys and Dragons -- represent Wales in the United Rugby Championship. No Welsh side has won the competition since 2016-17.
Cardiff, the largest of the four, entered administration in April after owners Helford Capital failed to meet its funding obligations.
The Wales national team ended an 18-match losing streak with a victory over Japan on Saturday, but remain outside the top 10 in world rankings after high-margin losses to France and England this year.
"The WRU is therefore considering a more radical strategy focused on maximising investment and reforming the whole structure of professional rugby in Wales (amongst other options)," the WRU added.
(Reporting by Chiranjit Ojha in BengaluruEditing by Christian Radnedge)
