Glasgow 2014 Commonwealth Games Costs Rise

From GamesBids.com:

The Herald reports the cost of Glasgow staging the 2014 Commonwealth Games may be almost 10 million pounds higher than originally projected.

It would be a three per cent increase on the initial total cost of 288 million pounds and would be split 80/20 between the Scottish Executive and Glasgow City Council, reports the newspaper.

Bid director Derek Casey described it as “a contingency rather than a definite increase”.

The issue came up in the wake of a Commonwealth Games Federation evaluation visit. Casey said, “the commission had some supplementary questions and suggested that we might not hit our target for broadcasting rights. It is impossible to predict how new technology might impact on that market seven years from now. Though it could be worth more than we projected, the commission have suggested it might be worth less. So it is prudent to err on the side of caution. We are not just talking TV and radio. It is impossible to judge how the Internet might dilute these broadcasting rights”, he said.

He added, “it’s impossible to predict how the world may be in 2014, but the increase may not actually occur. With more countries coming in there is more potential revenue”.
Casey denied the increased costs signalled the start of a London Olympic-style escalation in costs.

He said, “there is no question of that whatever. This is well thought-out analysis and the review of costs has been extremely robust. We have been absolutely transparent on the figures throughout and when any chance has occurred we have immediately informed the public”.

The 9.5 million pound increase covers a range of issues highlighted by the commission – broadcasting, lighting, venue improvements including extra temporary seating, athlete catering and transport.