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Games fallout: Victoria’s $380m bill keeps Games alive as Glasgow unveils new blueprint

Victoria’s $380m exit has kept the Commonwealth movement alive, as organisers in Glasgow lay out a new model built on legacy and sustainability that could shape the Brisbane Olympics.

Daniel Andrews’ decision to withdraw from the 2026 Commonwealth Games has saved the concept, James Bulley, right, says. Artwork: Frank Ling
Daniel Andrews’ decision to withdraw from the 2026 Commonwealth Games has saved the concept, James Bulley, right, says. Artwork: Frank Ling

Former Victorian premier Daniel Andrews’ $380m break fee to pull out of hosting the 2026 Commonwealth Games has kept the movement alive, while the state’s withdrawal exposed a broken model, the man now delivering the event in Scotland says.

Trivandi chief executive and co-founder James Bulley – a veteran of London’s 2012 Olympics whose company is the official delivery partner for the Glasgow Games – said Victoria’s decision had devastated the Commonwealth Games movement but ultimately triggered overdue reform.

“I mean, the first thought was probably not something you would put in a newspaper – it was a huge disappointment,” Mr Bulley said of his reaction to the Victorian government’s July 2023 decision to cancel the Games.

The Andrews government pulled the plug after projected costs blew out from $2.6bn to more than $6bn, citing the difficulties of spreading events across four regional hubs. In a settlement the following month, Victoria paid $380m, with nearly $200m funnelled to Glasgow 2026.

Mr Bulley said that cash injection was crucial as there had been a risk the Commonwealth Games would become extinct following Victoria’s withdrawal, and it was now underpinning the model being laid out in Glasgow which involved no cost to taxpayers.

“I believe there was a risk because ultimately, all the events that take place … fit into a cycle,” he said. “I’m sure people are smarting and feeling hurt by what happened in Victoria, but I think things have moved on. And ultimately, Australia has provided £100m of the legacy that has kept the Games movement alive.”

Then Victorian premier Daniel Andrews, left, with his sport minister Martin Pakula at the 2023 announcement that the state would host the Commonwealth Games. Picture: Timothy Cox
Then Victorian premier Daniel Andrews, left, with his sport minister Martin Pakula at the 2023 announcement that the state would host the Commonwealth Games. Picture: Timothy Cox

A parliamentary inquiry in April found the Victorian bid for the Games was a hasty political decision, which used flawed modelling and failed to heed warnings about spiralling costs. It recommended tighter accountability measures on any project worth more than $250m and a requirement for all cabinet decision papers to be published within 30 days of a final decision. The government is still considering these recommendations.

The inquiry’s chair, Libertarian MP David Limbrick, said the bid had been “a debacle from start to finish” and that taxpayers, particularly regional Victorians, had been left badly let down after the ordeal cost the state more than $589m.

A Victorian government spokesperson said it was “getting on and delivering the housing, tourism and sporting infrastructure benefits to regional Victoria that would have been facilitated by the Games – and more”.

“When the Commonwealth Games needed a host city to step in at the last minute, we were willing to help – but not at any price, and not without a big lasting benefit for regional Victoria,” the spokesperson said.

Mr Bulley said he had not delved into Victoria’s regional model in detail but every successful host needed four fundamentals: a clear vision, stakeholder collaboration, tight budget control, and rigorous feasibility at the start. “If you can get those four things right, you can succeed; if you don’t, it becomes very challenging,” he said.

Following Victoria’s decision, Mr Bulley said he spoke to a number of industry leaders who were in agreement that there had to be a new model for delivering a large-scale event such as the Commonwealth Games.

He said the model Trivandi was laying out in Glasgow – involving no cost to the taxpayer by using existing venues, hotels and accommodation, using private investment and embedding international specialists in the organising committee as part of a one-team approach – could have worked anywhere in the world, including Victoria. “I think when Victoria was looking at it in the context of what they had at the time, in fairness, these things weren’t on the table,” said Mr Bulley, who was director of venues and infrastructure for the London Olympics. “And you sign up a hosting contract based on a set of criteria that commits you to certain things … and in hindsight, had these things been on the table back then, it could have been potentially very different.

“London could have been very different. We could have made it more sustainable. We could have made it more cost-effective and less cost to the taxpayers, and so on. So now, looking back at it, for sure, anywhere in the world now could host (the Commonwealth Games) much more sustainably.”

Despite the international embarrassment, Mr Bulley said Australia’s wider reputation as a host nation remained intact. “I think it’s a small blip on the radar,” he said. “Australia has a great sporting heritage, and you’ve got number events coming forward.”

Pressure is growing on Olympic and Commonwealth hosts to rein in costs. Under reforms driven by former IOC president Thomas Bach, countries are urged to prioritise existing and temporary venues and guarantee lasting legacy use for new infrastructure.

The debate played out fiercely in Queensland after the former Labor government scrapped a plan to rebuild the Gabba in favour of hosting the 2032 Games opening and closing ceremonies at the Queensland Sports and Athletics Centre. That decision was overturned by LNP Premier David Crisafulli who opted for a new venue at Victoria Park, which will turn into the home ground of the Brisbane Lions and a major cricket venue, ensuring year-round use.

Mr Bulley, whose firm has opened a Brisbane office and is advising on feasibility work for the 2032 Olympics, said the city had so far taken the right steps. The key, he said, was locking in the stadium’s long-term use.

“London didn’t, in my view, really get that completely right,” he said. “And I think that’s the important thing here for Brisbane – a decision has been made, and now everyone can move forward with the planned proposition.”

Mr Bulley said a key element of his firm’s model was to ensure there were experienced people in the organising committee, and to dial up and down the expertise required, depending on the need at the time, to rein in costs.

“It’s incumbent on us to come in with people who are going to help do that, but only build the expertise when it is especially needed,” he said. “If we’re fortunate enough to be deeply involved in the Games in Brisbane, we will build a team locally, and as we’ve committed to Glasgow, we’ll leave that team behind.”

He said the deal for the Los Angeles Olympics to sell naming rights for a handful of its venues was another “seismic” shift.

“In London, we wanted to use an existing basketball arena rather than building a new or a temporary basketball arena, and that was 200 miles up the road, and we were told no,” he said. “Now that’s all changed in this new model.”

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Original URL: https://www.theaustralian.com.au/nation/games-fallout-victorias-380m-bill-keeps-games-alive-as-glasgow-unveils-new-blueprint/news-story/bc3ef73979a7492bf8b9101eb4455882