Games axe ‘jeopardises Victoria’s standing as a sporting capital of the world
The global Commonwealth Games Federation and Commonwealth Games Australia have slammed the Victorian government’s decision to pull out of hosting the 2026 Commonwealth Games
Premier Daniel Andrews announced the move this morning, saying the cost of hosting had blown out by billions since the government last year made its bid to host the games as a “predominantly regional” event.
The organisations say the forecast costs cited by the government are “a gross exaggeration”, they were not consulted about the shock decision and were only given hours’ notice.
Andrews this morning said circumstances had changed since his government had stepped in to host the Games in April last year.
“Last year when the Commonwealth Games Authorities approached us, needed someone to step in to host the 2026 Commonwealth Games, as a state we were happy to help out,” Andrews said.
“But, of course, not at any price and only if there was lasting benefit.
“What’s become clear is that the cost of hosting these Games in 2026 is not the $2.6 billion which was budgeted. It is, in fact, at least $6 billion and could be as high as $7 billion.
“Six to seven billion is well and truly too much for a 12-day sporting event.
“I will not take money out of hospitals and schools in order to fund an event that is three times the cost as estimated and budgeted for last year.”
Andrews added he has no “confidence” that even $7 billion would appropriately fund the Games.
“I think it could be more than that,” he said.
But the Commonwealth Games Federation said $6 billion was “50 per cent more than those advised to the Organising Committee board at its meeting in June”.
A statement from the federation has further said the government had increased costs of the plans against its advice.
“Since awarding Victoria the Games, the Government has made decisions to include more sports and an additional regional hub, and changed plans for venues, all of which have added considerable expense, often against the advice of the Commonwealth Games Federation (CGF) and Commonwealth Games Australia (CGA).”
The federation has said it was only given eight hours’ notice of the decision and until then had been advised the government had the funds to host the games.
Commonwealth Games Australia chief executive Craig Phillips said his organisation also had not been consulted about the “gross exaggeration” of costs revealed by the government today, claiming he only learned of the decision at 8am.
“Beyond this, the Victorian Government wilfully ignored recommendations to move events to purpose-built stadia in Melbourne and in fact remained wedded to proceeding with expensive temporary venues in regional Victoria,” he told media.
Phillips said the government “had jeopardised Melbourne and Victoria’s standing as a sporting capital of the world” as well as disappointing “athletes, the excited host communities, First Nations Australians who were at the heart of the Games, and the millions of fans that would have embraced a sixth home Games in Australia”.
The premier earlier said discussions with authorities had been amicable and are still ongoing.
“We have had discussions last night and those discussions are not over, they have been amicable, they have been particularly productive and they will continue,” he said.
“It is fair to say, a multi-city Commonwealth Games that had never been delivered before and they were estimates that were made and those estimates are clearly well and truly under the actual cost.”
Andrews said the $2 billion set aside for the Commonwealth Games will go instead towards a regional package.
“There are a number of features to that. First and foremost, each and every one of the permanent sporting facilities that were to be legacy benefits from the Games will be built,” he said.
“There is a very substantial regional tourism fund. There’ll be a substantial package of support for community-based sport and perhaps most importantly there will be a $1 billion boost for social and affordable housing right across regional Victoria.”
Andrews had previously announced in April last year Victoria would host the event, saying his government was offering a real “point of difference” for the event, which would be a “predominantly regional Victoria event”.
“Our vision for these games will be like no other and they be will great for regional Victoria,” he said.
“We want to have as much of this in regional Victoria as we possibly can.”
Victorian Opposition Leader John Pesutto and Nationals leader Peter Walsh also criticised the decision.
Pesutto labelled the move as “hugely damaging” and said the decision was “a betrayal of regional Victoria”.
“Daniel Andrews and Jacinta Allan have humiliated Victorians,” he said.
“Victoria has been a proud champion of major events and global events in our state.
“We have always been able to rely on that, but today in an abrupt cancellation with virtually no consultation with anybody, Daniel Andrews and Jacinta Allan have done untold damage to our reputation.”
“People will think twice before hosting events in Victorians.”
The Commonwealth Games were going to be held from March 17-29, 2026, with Geelong, Bendigo, Ballarat, Gippsland and Shepparton all playing a role in hosting.