Olympic Park to lose over £30m each year, says mayor’s draft budget

The Olympic Park is forecast to lose over £30 million for each of the next four years, according to mayor of London Sadiq Khan’s draft budget proposals.

Total expenditure on the stadium will be in excess of £37 million for each of these years, while the forecast income will peak at £6.9 million in 2021-22.

An arts and educational district will also be built on the Olympic Park site, pending the budget’s approval by London Assembly members.

In 2018/19 £13.2 million is set to be spent on financing costs, £2.4 million is to be spent on regeneration, £10.3 million is to be spent on corporate facilities, £100k on developments, £2.8 million on planning authority and £600k on VAT and contingency.

In December City Hall took over the running of the park from Newham Council’s E20 partnership because of the heavy losses being racked up.

An LLDC spokeswoman said: “We are delivering the lasting regeneration promised to local communities when London bid for the 2012 Olympic and Paralympic Games. We are creating 40,000 new jobs on and around the Park, building 24,000 new homes and a fantastic culture and education district.

“As a development corporation, we invest a lot of money in the early years so we can deliver these jobs and houses, so local people can reap the benefits in the future.”

“In the long term we anticipate that LLDC will repay the money invested in the early years, ultimately delivering a surplus back to the taxpayer.”