Government set to admit cost of 拢527m, due to lack of bidding competition
The cost of the Olympic stadium has risen by 拢22m in the last six months, the government will admit later today.
In its annual report of the Olympic budget, the Department of Culture, Media and Sport is expected to say the stadium will now come in at 拢547m, 拢22m higher than its last update in July.
It represents a rise of 拢43m from the original budget as outlined in September 2007. According to the Evening Standard the rises are blamed on 鈥渢he development of the design, and the lack of competitive tension鈥� in the procurement. Robert McAlpine, the contractor for the stadium, was the only bidder for the job.
In addition the government will say the cost of the Aquatic Centre has risen by 拢5m to 拢251m.
The cost of other venues, including the velodrome, has risen by 拢25m to 拢446m.
However, the DCMS will say that overall cost rises of 拢196m in the last six months will be offset by 拢193m of savings which have been identified over the same period.
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