Victoria’s auditor-general has revealed that the cancellation of the 2026 Commonwealth Games has cost the state more than $589 million, describing it as a “waste of taxpayer money” with no discernible benefit.
The report found that the cited $6.9 billion cost blowout was overstated and criticized the government for not providing accurate total costs due to ongoing risks.
The report also highlighted the inadequate business case for the event, stating that it did not support an informed decision on the costs and benefits of hosting.
Premier Jacinta Allan defended the decision to cancel the games, stating that the costs far exceeded any potential benefits.
The report emphasized the significant waste of taxpayer money on an event that will not happen, raising concerns about Victoria’s rising debt levels.
The opposition spokesperson for tourism, sports, and events, Sam Groth, described the Commonwealth Games as a “cruel hoax to win votes in regional Victoria.”
The report also revealed that the cost estimate for the Games was overstated and not transparent, adding significant amounts for industrial relations and cost escalation risks without disclosing the budget’s contingency allowances.
The government agreed to pay Commonwealth Games bodies $380 million in compensation after deciding to withdraw from hosting the event.
Source: www.theguardian.com