The annual grant is 130% of the salary cap. About $3m to $4m of the grant goes directly to the football department of each club. Some Sydney clubs would struggle to compete if they had to produce that $3m to $4m on their own. Many of them struggle to make ends meet with the $3m to $4m they're getting from ARLC.
It's unfair for Sydney teams to receive this money when most of them add nothing to the broadcast rights revenue, which is evident by the most watched teams being Broncos, Storm and Cowboys with the lowest-drawing clubs being from Sydney. It would make good business sense to kill the least popular Sydney brand and replace it with a 3rd Brisbane team, a 2nd NZ team, a Perth team and possibly an Adelaide team to form a strong 20 team competition that has 8 in Sydney, 3 in Brisbane, 1 in Adelaide, 1 in Melbourne, 1 in Perth, 2 in NZ with 4 teams in regional QLD/NSW and ACT. That's a good spread that provides pathways for kids all over the country and lucrative local derbies for the broadcasters in Sydney, Brisbane and NZ. If NZ 2 is successful then another Sydney team could relocate to NZ or be killed off so that we can have more local derbies in NZ and help RL compete with RU for talent and media coverage in the Shaky Isles.
Seven to eight teams in Sydney is more than enough and more than Sydney RL fans deserve. Any Sydneysider who whinges about that is just a petulant sook with an entitlement complex.