The Victoria state in Australia has withdrawn from hosting the 2026 Commonwealth Games, citing significant cost overruns. The initial estimated budget of Aus$2 billion escalated to approximately Aus$7 billion, leading the state's Premier, Daniel Andrews, to deem it “well and truly too much”.
He announced that the Games would not proceed in Victoria in 2026 and informed the Commonwealth Games authorities of their decision to terminate the contract.
"I've made a lot of difficult calls, a lot of very difficult decisions in this job. This is not one of them. Frankly, $7 billion for a sporting event, we are not doing that," Daniel Andrews said at a press conference in Melbourne.
The multi-sport event, featuring 20 sports and 26 disciplines, was planned to be held across five regional hubs in Victoria. However, Andrews' team explored cost-cutting options, including reducing the number of hubs or moving the Games to Melbourne, but found them unfeasible. Instead, the state announced a Aus$2 billion support package for regional Victoria.
“I will not take money out of hospitals and schools to host an event that is three times the cost estimated and budgeted for last year,” he said.
The Commonwealth Games Federation expressed disappointment with the decision and stated, “We are disappointed that we were only given eight hours' notice and that no consideration was given to discussing the situation to jointly find solutions prior to this decision being reached by the government”.
The Federation claimed that Victoria had deviated from the agreed-upon plans and incurred additional expenses against the advice of the Commonwealth Games Federation and Commonwealth Games Australia.
The withdrawal of Victoria as the host leaves the fate of the Games uncertain, as fewer countries have shown interest in hosting the event, which is seen as losing its relevance. The Federation, however, remains committed to finding a solution in the best interest of the athletes and the Commonwealth Sport Movement.
The Commonwealth Games typically attract over 4,000 athletes from the 54 nations of the Commonwealth, most of which are former territories of the British Empire. The last Games were held in England in 2022 after Birmingham stepped in late in the piece.
Commonwealth Games Australia president Ben Houston called it "extremely disappointing", he added, "We are working with the Commonwealth Games Federation to understand the broad impacts on the Games in 2026."
The decision has been met with disappointment and criticism from various quarters including the Victorian state opposition, with concerns raised about the impact on the Games and Victoria's reputation as a global events leader.
