THE Anglo-Welsh Cup is to be replaced by a new competition where teams will fight it out to win more than £500,000 in prize money.

Worcester Warriors will be among the 12 top-flight English clubs that will compete in the tournament, called the Premiership Rugby Cup.

It will comprise of three pools of four teams with the first two pool rounds starting on the last weekend of October and the last two beginning in late January.

One of the final two rounds will see ‘Derby Day’ clashes for the 12 teams before the cup moves into the knockout phase with the three pool winners and the best runner-up moving into the semi-finals.

All four Welsh regions had featured in a 16-team Anglo-Welsh format since the 2005-06 season, but Pro Rugby Wales will now launch a new under 23 competition.

Premiership Rugby chief executive Mark McCafferty said: “The (Anglo-Welsh) Cup has been a highly successful competition in recent years in helping develop the best new Premiership and England players in front of big crowds and TV audiences.

“The pathway for young players is now clear linking the U18s League, the A-League and now the Premiership Rugby Cup into one strong route towards Gallagher Premiership Rugby, European competitions and Test matches.

“The competition has seen many different club coaches taking responsibility for the cup team and developing their experience and skills in charge.

“This focus on new playing and coaching talent will continue in the new cup format with young players and coaches experiencing the challenge of bigger crowds and TV exposure.”

A Pro Rugby Wales spokesperson added: “The review of development structures and processes we have undertaken together with the WRU over the last 12 months has clearly illustrated the need for us to focus on our 18 to 23-years-old player development through a dedicated Under 23 competition.

"This unfortunately means we will no longer have the resources to be able to compete in the Anglo-Welsh Cup.”