Dragons coach Paul Turner believes Welsh rugby needs to sit down to talk about increased regional budgets in order to compete in Europe.
By Sunday it is very likely that none of the four regions will be in the Heineken Cup quarter-finals.
That would be the first time it has happened for four seasons.
"In France the Pro Two clubs are on bigger budgets than we work. I think we have got to get round the table and look at that," insisted Turner.
The Dragons coach says the differences between some of the 24 teams in Europe is starkly different with regards resources and budgets.
And again the Dragons have suffered in Europe this season, so far losing all five of their Pool Six matches ahead of their final game against Glasgow Warriors on Sunday.
"In another country the laws are different to ours with regards [foreign player] quotas. We have got our own quota ruling and then there is the budgets," he said.
"There is the haves and have-nots really. Of the 24 teams in the Heineken Cup we [Dragons] are round about the bottom in terms of budget, but we are top in terms of developing our own players.
"I can't really give you an answer [on why Wales have done badly this season] other than the way the rugby world is at the moment. It's gone financial. It's resource based.
