England's Rugby Union chief executive Francis Baron has warned England could withdraw a bid to stage the 2015 World Cup unless the International Rugby Board reduces its financial demands.
Baron says any Union bidding to host the tournament must guarantee the global governing body what he says is a very large profit.
However, Baron says the financial return the IRB envisages is unlikely to be realised following problems caused by the worldwide credit crunch.
He says the home unions now have to guarantee the IRB a very large tournament fee and that puts a massive financial risk on the bidding union with initial predictions making it unlikely England could make a profit.
Last year's World Cup in France delivered the IRB a profit of $250 million.