ACT Brumbies boss Michael Jones says Australia's new contracting system is a "double-edge weapon" as the club launches a bid to use a flexible contract to hang on to star playmaker Christian Lealiifano.

The Brumbies have been forced to investigate new ways to keep their stars in Canberra as rich overseas clubs try to lure players abroad with pay packets twice the size of those on offer in Australia.

Lealiifano looms as a linchpin for the Brumbies, after five-eighth Matt Toomua signed a deal to join the Leicester Tigers at the end of the 2016 Super Rugby campaign.

He's been chased by French and Japanese teams with big money offers.

Jones said simply increasing the salary cap wasn't the answer and Aussie provinces needed to be more "innovative" with their contracts instead.

Read more: