'Engine is restored and working well' claims McKie

SCOTTISH rugby is in good health with its mountainous debt now well under control and optimistic signs for the future coming into view, delegates at the Scottish Rugby Union's annual general meeting heard at Murrayfield last night.

Gordon McKie, in his third year as chief executive, said the SRU had seen great improvements in its financial and commercial standing over the past three years as well as significant progress in the sport itself. "The SRU is now a well run, credible and respected governing body," he said. "The engine is restored and in working order again."

Turnover was up by £2.6 million putting the organisation on a break even basis for the second successive year after a decade of losses, and creating an operational surplus in excess of £1 million that meant funds could be distributed round the clubs. Debt which stood at £17.6 million at the end of the last financial year and had peaked at £23 million at one stage – was already down to less than £15 million and finally under control.

Playing numbers were up and the two professional teams in Edinburgh and Glasgow had achieved their best ever finishing positions in the Magners League and increased average crowds by around 20 per cent. The international team had had a mixed season but began it at No 11 in the world rankings and ended it two places higher.

Brand Murrayfield would be promoted with the aim of attracting more world class events to the stadium, but there would be inevitable disruption in the autumn with the laying of new tram tracks combined with flood barrier work that would take large chunks of land out of commission.

Mr McKie said that the prospect of any property development on the land behind Murrayfield was now remote as the land was now needed for other purposes as part of the strategy to promote the stadium internationally.

He says that Miller Developments remained keen on exploiting the land and held an option that had been agreed in 2004 when the SRU was in disarray and needed to tackle an £8.6 million loss. However, the material change in circumstances meant it was now preferable to retain the land.