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Boris: give back unused Olympics cash
Pippa Crerar, Political Correspondent19.06.08
Boris Johnson stepped up his campaign to cut Olympic costs today by demanding a rebate for Londoners if the Games stay within budget.
In an increasingly bullish stance, the Mayor demanded a pledge from the Government that his £300 million contribution to the £2.7billion contingency fund should be repaid if it is not spent.
He wants a written promise over the return of the cash - part of the overall 2012 budget - but stopped short of saying he would block the up-front payment if he did not get his way.
The Mayor was alerted to the potential loophole in a report by his Games adviser, tycoon David
Ross, pointing out a lack of clarity on a potential rebate in the "memorandum of understanding" agreed last June between former mayor Ken Livingstone and Olympics minister Tessa Jowell. Mr Johnson told the BBC today: "We want to make sure that if there are any savings then they should partly accrue to London and not generally."
He admitted there was "a dispute" between City Hall and the Government about who would foot the bill for any over-runs and cast doubt on whether the memo had ever existed.
In an unusual intervention, Mr Livingstone then phoned the BBC to say that the memorandum, guaranteeing Londoners would not be landed with the bill if the Games went over budget was signed last year and published on the Department of Media, Culture and Sport website.
He said: "I find this bizarre. Boris could have seen it as an MP, I gave a copy to every member of the London Assembly." The Mayor's office later attempted to clarify by suggesting Mr Johnson had been led to believe the BBC was talking about a "secret agreement".
City Hall admits that the £300million, which was agreed when the budget was revised upwards to £9.3 billion last March, was unlikely to be paid back in full.
But they have calculated that the Mayor's office should be entitled to about one ninth of anything unspent. They point out that the memo already offers guarantees to the other contributors, the Government and the National Lottery.
Reader views (4)
Boris, is only doing what us hard pressed and Londoners expect. That is, making sure that all costs are tied down and everything is transparent.
Am sure no one in London who has to pay the community charge, is actually too bothered about acidic criticism from Spain.
- Harvey H, London
Oh dear- last night's BBC London News was car crash Mayoralty;
No idea that the Rise festival no longer had an anti-racism message
No idea that the Memorandum existed
In fact, no idea.
Exactly who is running London, because it ain't the Mayor?! This great city deserves better.
- Fresh, London
What a blustering waste of space he is turning out to be. He employs people to advise him on almost everything because he appears to know diddly squat about the most basic elements of the Games. They appear to know even less about their brief than he does. There is a Memorandum of Intent on the 2012 Games website, which sets out in great detail that any overrun, should there be one, will be met by the Government. This was agreed and signed by Ken Livingstone and Tony Blair. Maybe in future this excuse for a Mayor will ensure his brain is engaged before he operates his mouth. The Olympics are supposed to transcend politics, but Boris has tried to politicise the 2012 Games since he took office. Anyone would think he had a hand in the successful bid. His constant sniping at the previous Mayor and at the government will do his image no good at all. There are 4 years to go and already he has caused embarrassment to London with his pathetic political point scoring, and his ill-judged comments. I seem to remember that this is what did for the Athens Games. When are you going to start behaving like a grown up, Boris?
- Val Daniels, Mijas Costa. Spain
No mention of his embarrassment on the Today programme, and Ken's subsequent call to the programme?
- Fresh, London
