Rugby World Cup Spending defended

Media release

Newmarket Business Association

Thursday, 28 April 2011

Rugby World Cup Spending defended

Newmarket Business Association CEO, Ashley Church, is expressing concern at the results of a survey conducted by the New Zealand Herald. He says the conclusion reached by the Herald, of a $500 million deficit on costs associated with the Rugby World Cup, "is almost certainly wrong".

Mr Church, who was heavily involved in Economic Development as an elected City Councillor, in Napier, between 1989 and 1998, says that the results of such studies are notoriously subjective and likely to be grossly inaccurate "because there's no agreed starting point on what should be measured".

"There's no universal standard for these studies so they tend to be heavily influenced by the particular 'cause' or bias of the commissioning organisation".

Mr Church says that, in his view, claims of a cost blow-out from $70 million to $1,200 million are nonsensical because they include infrastructural and 'legacy' spending that will contribute to the country well beyond the finite period of the World Cup.

"New roads, improvements to Stadia, upgraded transport facilities, town centre refurbishments and other new facilities are all examples of things which may have been initiated by the World Cup, but they should not be included in World Cup costing's because they will contribute to the health and well-being of communities long after the tournament has ended".

Mr Church says the Herald article is in stark contrast to the public mood which is one of eager anticipation of the Rugby World Cup.

"Communities such as Newmarket, up and down New Zealand, are gearing themselves up for a spectacle the likes of which we're unlikely to see here again for a very long time. I receive regular updates from the various agencies involved in bringing the tournament together - and its impossible not to be hugely impressed with what they're doing to make sure the event is a huge success".

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