4 Sep 2024

Christchurch told not to spend more money on potentially hosting Commonwealth Games

12:27 pm on 4 September 2024
Phil Mauger

Christchurch mayor Phil Mauger. Photo: RNZ / Nate McKinnon

The Christchurch City Council has been told not to spend any more money investigating the possibility of hosting the Commonwealth Games.

A report was prepared by the council's economic development arm, ChristchurchNZ, after a narrow council vote in January called for an investigation into the possibility of hosting the games.

The report recommends:

  • Christchurch should not pursue a standalone bid but instead support any national bid led by the New Zealand Olympic Committee and New Zealand Major Events;
  • No further money should be spent investigating the feasibility of Christchurch hosting the Commonwealth Games until a national bid is put forward;
  • Christchurch should pursue securing major sporting events which were more cost-effective, delivered substantial benefits and utilise existing city infrastructure.
  • The council vote to consider a future bid for the Commonwealth Games was met by protest in January and councillors were showered in fake money.

    It followed Victoria pulling out of hosting the 2026 Commonwealth Games in July last year due to cost blow-outs.

    New Zealand First then publicly mulled the idea of taking over the games and Christchurch mayor Phil Mauger said it was worth investigating.

    By January's vote, Mauger conceded 2030 was a more achievable target, telling RNZ at the time: "I'm just floating it out there ... what I'm asking for is a report from our guys to say 'Phil, you're dreaming' or 'no, you're not'."

    ChristchurchNZ's report seemed to point to the idea being a pipedream.

    "Until the [Commonwealth Games Foundation] release the model for any future games, it is difficult to estimate the total cost," the report said.

    "The Victorian government budgeted AUD$2.6billion (NZD$2.7b) to host the regional 2026 games, which was subsequently cancelled due to costs increasing up to AUD$6b, under further budgetary review. Under a nationwide hosting model, all host cities can be expected to contribute funding, but this would need to be explored as part of a detailed feasibility study done with potential host cities.

    "The 2022 Commonwealth Games in Birmingham was backed by £778 million (NZ$1.55b) of public funding, including £594m (NZ$1.18b) from central government. Under the assumption of a similar funding model, where central government contribute approximately 75 percent of the funding required to cover the net cost of hosting, then the cost to Christchurch could be projected as 5 percent of the net cost, based on the balance of funding required being split between 4 or 5 host cities in New Zealand.

    "No testing of a funding model has been undertaken and would need to be included in the feasibility phase. The ability of cities to fund is likely to vary widely and a key risk will be that cities will expect a share of the games proportional to their share of city funding.

    "The quantum of investment required would be more than what could be supported through the current budget allocation that sits within ChristchurchNZ or the Events Ecosystem LTP Funding. As with other 'Mega Events' it would require a separate and specific funding appropriation, which would need to be considered through the LTP process."

    Any New Zealand-hosted Commonwealth Games would have to be a national event, the report said.

    "There is currently no host confirmed for the 2030 or 2034 Commonwealth Games. The New Zealand Olympic Committee (NZOC) have undertaken initial work with the Ministry of Business Innovation and Employment to enable a public Expression of Interest (EOI) to be made for New Zealand to host the Commonwealth Games in 2034. The ministerial direction that supported the 2034 EOI (made in April 2023) was that the Games must be held nationwide. The original ministerial support was for 2034, on the back of Victoria in 2026. With the change in 2026 this does make 2030 a potential opportunity for NZ.

    "The NZOC have been very clear ... that the concept of hosting a games in New Zealand is about a nation and not a city. This concept has also received ministerial support. To develop a Games that would help achieve nationwide goals and engage young and diverse communities in sport."

    A more likely and palatable option for the city and its residents was hosting the 2030 International Masters Games Association Open Masters Series.

    "This is a 'live' opportunity, for an international multi-sport, multi-day proposition, currently being explored for the city. ChristchurchNZ appointed MI Global Partners to undertake a feasibility study for Christchurch to host the Open Masters Series in 2030, which has now been completed. Overall, the feasibility study indicates a positive outcome for the city, region, and country, and recommends that Christchurch proceed with a formal proposal to host the event," ChristchurchNZ's report said.

    The event would attract 7500 participants, more than 12,000 in total attendance, bring in 78,454 visitor nights and $11.6m in visitor spend, with 25 sports across 15 venues and 10 days.

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