London 2012; Mayor of London’s independent review of London Stadium released

© Martijn Giebels / Architecture of the Games

Yesterday, the Mayor of London (Sadiq Khan) published an independent review into the finances of the London Stadium. The review was commissioned in March 2017.

The London Stadium was built for the 2012 Olympic Games and has been converted into a multi-purpose stadium in recent years. The stadium is home to West Ham United FC and UK Athletics, but it also hosts other major sporting events and concerts.

 

Press release Mayor of London

London Stadium: Mayor publishes critical independent review
​​The Mayor of London, Sadiq Khan, has today published an independent review into the true scale of the mismanagement of the London Stadium by the former Mayor, revealing a catalogue of errors that led to transformation costs soaring and a bungled decision that has left the taxpayer to foot an annual loss of around £20 million.

Sadiq has also announced he is now taking over control of the London Stadium to put it on a more secure financial footing and – through the London Legacy Development Corporation – is putting together a plan to ensure its long-term future as a world-class multi-purpose venue and to continue providing community benefits.

The review by forensic accountants Moore Stephens, commissioned by Sadiq in March this year, reveals for the first time how decisions made by Boris Johnson led to the taxpayer shouldering the cost and financial risk – rather than West Ham United – for the transformation of the London Stadium following the 2012 Olympic and Paralympic Games. It shows the decisions to transform the stadium and to accept the terms of West Ham’s second bid as anchor tenants were made based on incorrect financial estimates and a failure to fully understand or investigate the commercial risks to the taxpayer.

 

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Press release Newham Council

Newham Council agrees future ownership and legacy benefits of London Stadium

​​Newham Council has today agreed a deal to help secure a sustainable future for the London Stadium and deliver the Olympic and Paralympic legacy promises made to its residents.​

The deal will see Newham retire from the ownership of the London Stadium in return for community and regeneration benefits for all Newham residents over the next 100 years.

The council’s long term vision of the London Stadium as a world-class, vibrant and multi-purpose stadium, has been achieved. The stadium anchors Queen Elizabeth Olympic Park (QEOP), which continues to draw investment and regeneration to Newham and wider East London.

 

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Statement by West Ham United FC

Following the release of the Mayor of London’s independent review of London Stadium today, West Ham United have issued the following statement:

“As the report confirms, the Concession Agreement is a watertight, legally binding contract signed in 2013 in good faith by West Ham United, who remain absolutely committed to its terms for the entire 99-year duration.

“We have delivered everything we committed to within the Concession Agreement, and act as the primary vehicle for London Stadium’s legacy, delivering its most watched sporting spectacles, revenue driving events and thousands of jobs for local people.

“It is not in West Ham United’s interests for the Stadium to not be performing in line with aspiration and, as we have done ever since moving to Stratford in the summer of 2016, we continue to offer the benefit of our commercial expertise and substantial experience in managing successful stadia.

“West Ham United will continue to devote our absolute commitment to London Stadium, but our first priority in this sense is always to act in the best interests of our supporters.

“We fully concur that West Ham United has played a significant part in the most successful regeneration programme in the history of the modern Olympics, however the stadium itself craves renewed leadership and direction and we welcome the Mayor’s decision to step in and deliver this. West Ham United is firmly behind him.”

 

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