THE possibility of Bath playing matches outside the city moved a step closer yesterday after a High Court judgment effectively hampered their hopes of increasing the capacity at their current Recreation Ground home.

Swindon's Town's County Ground, along with Bristol's Memorial Stadium have been mentioned as possible locations should the rugby club need to move out of the city centre to increase their stadium capacity.

And that looks increasingly likely after a ruling that the Rec is the subject of a Charitable Trust meaning that the club face a mountain of red tape as well as residents' opposition if they want to follow through with plans to build a £20million 16,000-seater stadium on their current site.

League regulations insist that every top-flight team must have at least a 10,000-capacity stadium available by 2004.

But the club's plans for the Rec hinged on the legal ruling regarding a covenant attached to the land when it was sold to the city in the 1950s.

It stated that the land should be used for sporting purposes but that no one sport should be allowed to dominate.

Bath and North East Somerset Council challenged the covenant, arguing against charitable status.

But yesterday's decision effectively sends the rugby club back to the drawing board.

Bath's general manager Bob Calleja said that a negative verdict would mean the club exploring other options, "with far-reaching consequences.''