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Olympic Games 2012: Consultancy

Volume 691: debated on Monday 16 April 2007

asked Her Majesty's Government:

Whether there has been an increase in the consultancy fee of £400 million for the 2012 Olympic Games announced by the Secretary of State for Culture, Media and Sport on 21 November 2006 in evidence to the House of Commons Select Committee on Culture, Media and Sport; and whether any increase has been included in the revised Olympic budget announced on 15 March. [HL2897]

In her response, published on the 26 March 2007, to the Culture, Media and Sport Select Committee's report, my right honourable friend the Secretary of State for Culture, Media and Sport said the total cost of the Olympic Delivery Authority's (ODA) programme delivery budget, including administrative costs and around £400 million of further expenditure referred to in her evidence to the committee in November 2006, is £570 million. This sum represents around 10 per cent of the total costs of the ODA programme of £5,254 million, net of tax, and is consistent with industry norms for a project of this scale, complexity and concentration.

Of this the combined staffing, accommodation and IT cost of ODA and the delivery partner, CLM, is £476 million. The balance of £94 million is to cover the establishment on the Olympic Park site of the necessary provision for up to 9,000 construction workers, including health and canteen facilities and transportation.