Warren Gatland's men reached the last four in New Zealand and almost shaded France for a place in the final, despite playing over an hour with 14 men following the early dismissal of captain Sam Warburton.
Their performances have not aided their ranking, though, and they are the only side in the top 10 to fall down the ladder, slipping from sixth to eighth.
Champions New Zealand remain top, with Australia second, France third and South Africa fourth, while England complete an unchanged top five.
Ireland rise a place to sixth, as do seventh-placed Argentina, then come the Welsh, Tonga and Scotland in 10th.
Gilbert has released a new line of rugby cleats. The Gilbert Virtuo 8S is part of the exciting new product. Check it out.
The Barbarians are one of the top invitational rugby sides with a long history and classic rugby jersey.
The Nike Tiempo is a solid rugby cleat and one of few styles still made from full-grain natural leather.
The Lions get ready for their matches with this green training jersey. It's what the players wear. Get in the Gear!
A cool looking all black rugby cleat with the high performance adidas is known for. Get in the Gear!
Wear the crest of the British and Irish Lions on your t-shirt. A great look for the summer.
The Lions are ready to get their Australia tour underway. They arrive in Perth on Monday.
The New Zealand All Blacks training jersey for 2013/14. Get in the Gear!
The USA Rugby Pro Alternate rugby jersey is perfect for any fan of the Eagles. Get yours to wear during the summer Test matches.
The NEW All Blacks 2013/14 jersey has arrived at World Rugby Shop. Dare to wear the colors of the All Blacks.