How much will the Olympics really cost?
The overall budget for the London Olympics submitted in the bid to the International Olympic Committee was £2.4bn.
The figure came from a study carried out by construction company Arup in May 2002. It predicted the cost of the Games to be £1.8 billion.
The government then commissioned another report in 2004 carried out by accountants PriceWaterhouseCooper, who put the figure closer to £3.2bn. The government settled for a compromise figure of £2.4bn.
London 2012: Olympics and Paralympics £377m under budget
Subscribe to The New Statesman today from only £8.99 per monthThe cost of the London Olympics and Paralympics will be £377m less than expected, according to the Government.
The combined budget for the two events was £9.29bn, but the projected cost is £8.92bn.
Savings came from a drop in security, transport and construction expenses.
In other words, “Our £6.89bn overspend was actually just a £6.52bn overspend when all things are taken into account! Huzzah!”
The latest BBC News story doesn’t even mention the original estimates at all, although an earlier news story – from July – at least featured Hugh Robinson evading the question:
Addressing the original bid budget of £2.4bn, Sports Minister Hugh Robertson said there was a “recognition right from the word go that figure would have to change dramatically on the basis of delivering the Games”.
We have always been at war with Eastasia.
Content from our partners
Related
