London Councils to be reimbursed for 2012 Olympic Games investment

The Department for Culture, Media and Support have committed to reimburse London Councils for the costs they incur in delivering the 2012 London Olympic and Paralympic games.

This funding will be targeted at the 11 boroughs who are hosting Olympic and Paralympic venues and who face unavoidable costs from doing so.

While national government will benefit from increased tax revenue during Games time, the boroughs will not receive any additional income.

These boroughs have responsibilities for a range of ‘clean and safe’ services that will be of enormous importance in ensuring the Games are a success, and these costs will not be recouped from the organiser as would happen in any other sporting event.

Jointly the boroughs estimate the unavoidable extra burden being put on them by the Games as £45m, money that boroughs will not want to divert from essential services to their residents.

The actual amounts of money to be allocated will not be announced until next month.

London Councils’ Executive Member for 2012, Culture and Tourism Councillor Chris Roberts said: "Across the capital, London’s boroughs have put significant amounts of money into helping to make the 2012 Games a success."

"They deserve to be reimbursed for the cash they have spent and will be spending in delivering an event that will define our country’s reputation around the world."

Further information:
London Councils