Assistant Economic Development Minister Steve Pallet, who has responsibility for sport, said that the club had done the right thing to secure its short-term future but that no public money would be used to bail out the club should the financial problems continue.
At an extraordinary general meeting earlier this week, board members of the Jersey Reds revealed that a consortium of third-party owners had bought the facilities – including the clubhouse, pavilion, stands, car park and both main pitches – and leased them back to the club.
Club chairman Mark Morgan said this had ensured that the club could see out the current season while working on restructuring its finances to secure its long-term future. He added that the club was not in any immediate danger of folding and that the side would be ‘playing Championship rugby next season’.
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