The true costs
We break down the full costs of the London 2012 Games.
Last Updated: 26/01/12 1:51pm
A Sky Sport News investigation has revealed:
• An extra £2.36 bn of public money spent on the Olympics taking the true cost to the taxpayer of the Olympic and Paralympic Games to £11..66 bn
• With additional costs associated costs that can't be pinpointed, it could be anywhere between £11.66bn and £23.76bn
A breakdown of the some of the Olympic spends
• The official Olympic budget for the Games is £9.3billion. This pays for the build of the venues and includes the £600million police and security budget. The government recently allocated an extra £41m (with a £7m contingency) from this budget to Locog to pay for the Opening Ceremony. They also allocated Locog £271m public money to pay for venue security. There is £2.8m for Games Time Testing, £35m for the transformation of the stadium after the Games and £25m for tourism campaigns to counteract the displacement effect an Olympic Games has on tourism.
• The cost of buying the land: £766m. This will be offset against any costs made back on land sales however due to the recession, this may be a lot less than they paid for it. Negotiations are on-going as to who will take on the debt which is estimated to be around
• The cost of the £826m Legacy programmes (source National Audit Office report 2011)
• The cost of paying union members extra during the Games. This has also been said to be a bribe to stop them striking. 13,000 tube drivers paid £500 payment each: £6.5m
• Government Operations work departmental costs: £86m (source: NAO)
• Government Olympic Executive: £57m lifetime cost (source NAO)
• The cost of the Olympic Park Legacy Company (the body set up to ensure the venues have a legacy): £300 million (source: OPLC)
• Newham Council's contribution to the Olympic Stadium: £40 million. Newham have been asked about other Olympic costs but have failed to give us the figures.
• UK Anti- Doping: £298,000 specific costs related to the Olympics. This figure does not include the normal operational costs of the outfit.
• UK Sport: £29m extra was injected by Andy Burnham on December 2nd 2008 because of the Olympic Games. We haven't included normal operating costs relating to the funding of elite or grassroots sport through UK Sport and Sport England as we'd always have funding.
• Sport England: the cost of the Active People Survey, a measure of sports participation figures: £22 million (but they say it was commissioned before the Games)
• Transport for London: spent £2.5m taking their 30,000 staff on a tour of the Olympic Park
• The upgrade of key tourist venues such as Leicester Square: £15.5m spent by Westminster Council. They say this would have been spent anyway but would it have been ditched in the cuts? A council statement said at the time of the announcement that it would make "dramatically improve the pedestrian experience in time for the 2012 Olympic Games".
• The upgrade of Piccadilly in London to make it more pedestrian friendly: £14m.
• Southwark Council's reserve fund to deal with Olympic related issues that may arise: £440,000
• The cost of the London Media Centre - somewhere for foreign media to gather: £1.05m
• The cost of 'London Ambassadors', People who will meet and great tourists: £3.5m
• Local councils across Britain: So far we've collated costs totalling £11,355,955 relating to the torch relay coming through regions in Britain. This also relates to Olympic themed entertainment or events. However the majority of councils have failed to give us their figures so the final cost will be much higher.
• The cost of Olympic tickets by public bodies: Local councils have spent £407,102 on Olympic tickets. Many will be given to local residents and deserving causes, however a tiny percentage will go to council bosses. This money goes into Locog's budget to stage the Games.
• The six host boroughs have spent or budgeted £6m in Olympic costs, mainly to their host borough unit. So far we don't know what this money has been spent on. We also haven't been able to pin down their exact spend,
• Legal costs over the collapse of the stadium deal -DCMS: £50,000 but they used in-house lawyers and say they would have been employed anyway; Newham Council: £987,916 (source: Sky freedom of information request)
Additional costs not added into our calculation because they would/ could have been spent anyway. However a large percentage should be looked at in relation to the Olympics:
• The cost of London and Partners (formerly Visit London/ Think London and Study London): £14m per year for four years up to 2014 totalling £56m (funded by the GLA). They say "all areas of our organisation - tourism, inward investment, business tourism and higher education are in some way working on the opportunities and benefits with surround the 2012 Games".
• Transport for London: £6.5billion. Spent on improving transport capacity for the Games. Londoners and visitors will reap the benefits from a better transport system