The 2000–01 season was a bad year for Teignmouth Rugby Football Club. December 2000 saw the club closed down and put into administration due to an unpaid VAT bill. With the club facing closure a rescue package was launched with members raising enough money to buy the club out of administration. In a season badly affected by the foot and mouth crisis, which saw a number of games unplayed, Teignmouth finished mid-table but, due to the effects of relegation in higher divisions, Teignmouth were relegated to Devon League 1.