New Zealand Rugby claim to have launched a legal case against INEOS, part owners of Manchester United, regarding a missed payment from their £22million sponsorship deal.

The All Blacks allege that INEOS, owned by British billionaire Sir Jim Ratcliffe, have breached their sponsorship agreement by not paying the first owed instalment of a 2025 deal.

The company had announced a six-year agreement to become the All Blacks' official performance partner until 2027, but the alleged breach has forced them to cut ties.

A statement said: “New Zealand Rugby is disappointed that INEOS has breached its sponsorship agreement. Most recently, it failed to pay the first instalment of the 2025 sponsorship fee, confirming its decision to exit our six-year agreement.

“Having learned of INEOS'S decision to walk away three years early, we have moved to protect the interests of New Zealand Rugby and the wider game. We have been left with no option but to launch legal proceedings to protect our commercial position.

“NZR is actively pursuing new commercial opportunities and global interest in the All Blacks and other Teams in Black remains high. We are committed to being world class on and off the field and deliver unique value to sponsors through our iconic brands.”

The deal was understood to be worth £3.65m a year and described at the time of announcement as a “unique new six-year partnership”.

The INEOS logo was branded on the back of the teams’ playing shorts and on the front of their training jerseys.

The two New Zealand Rugby sevens teams, All Blacks Sevens and Black Ferns Sevens, are set to return when Vancouver stages the next leg of the world series next weekend. Plans are reportedly in place to remove INEOS' logo from all kits.

The news comes after INEOS' split with Sir Ben Ainslie last month, with his team "astounded" by future plans for the America's Cup and warned it “raises significant legal and practical obstacles for them that will play out in the coming days and weeks”.

While the chemical production company's most high-profile investment, a stake in Manchester United that was increased to 28.94 per cent in December, has faced public criticism since a minority stake was purchased for £1.25billion last year.

The Red Devils have since made a string of cuts while on-pitch performances have been below standard, head coach Erik ten Hag was sacked and replaced by Ruben Amorim in October.