The RFL Board can confirm that North Wales Crusaders have withdrawn from the process of securing club membership for the 2027 season.
A new ownership group took over the club in May and were awarded interim membership to take it on until the end of the 2026 Championship campaign.
Any future participation was conditional on a comprehensive business plan being approved by the governing body before being admitted for the 2027 fixture list.
Unfortunately, North Wales have, so far, been unable to satisfy all of the RFL Board's requests for next year.
RFL chief executive Ian Nolan explained: "It is unfortunate it has come to this as all parties have been working hard to get membership across the line.
"I want to place on record our thanks to (North Wales Crusaders owner) Jamie Elkaleh and his team for their endeavours, hard work and determination in support of the club.
"The RFL is always striving to protect the history and the heritage of the game while also promoting and assisting it in new areas.
"We work hard with clubs throughout the year on various matters to help and augment them.
"We have done this with North Wales and together we have sought solutions.
"In this instance, our primary duty is to staff and players to ensure North Wales could sustain the full season, both in being able to pay them and creditors as well as the ability to fulfil fixtures.
"After careful consideration and due diligence, the RFL Board felt an escrow account would help ensure that happens.
“Unfortunately, despite the parties attempting to find an acceptable and independent way of facilitating the escrow, the club was unwilling to agree to any proposed suggestion or deposit the funds.
"Sadly, it means they will not compete in the Championship in 2027 but we are keen to continue working with them, maintain constructive dialogue and try to secure a future for the club and professional rugby league in North Wales.
"Furthermore, we are heartened by their public announcement they will be back bigger and stronger in 2028."