Supplementary memorandum submitted by
Manchester City Council and Manchester 2002 Ltd
Organisers of the Manchester 2002 Commonwealth
Games continue to make excellent progress in the planning and
preparations for the largest multi-sport event ever to take place
in this country.
Recent positive developments have given organisers
a genuine boost:
We have recruited most of the key
staff who will help to deliver the Games, all of whom have the
experience, expertise and commitment to make the Games successful;
The new facilities which will be
used during the Games are either complete or on schedule for completion
by Games time;
Further sponsorship deals will be
announced shortly covering important categories;
We look forward to a very productive
relationship with Australia's major sports channel following the
recent sale of the Australian TV rights to Channel 7;
Representatives who went to Sydney
have now had time to ingest what they observed at the Olympics
and have fed the key lessons back to colleagues. There is a genuine
feeling that the Commonwealth Games can do for Manchester what
the Olympics did for Sydney.
Manchester is feeling positive and confident
that the XVII Commonwealth Games will be a huge success.
What was the rationale for the recent organisational
changes for the management of the Games?
In February 2000, Charles Allen was appointed
Chairman of the Organising Committee following an announcement
by Robert Hough of his intention to retire from that position.
We are delighted that Robert Hough continues as a member of the
Organising Committee and as Vice President of the XVII Commonwealth
Roger Pannone took up the post of Deputy Chairman
in place of Sir Rodney Walker who continues to serve on the Board
of M2002 Ltd. In January 2001, Sir Rodney resigned from the Board
of M2002 Ltd due to his new responsibilities in relation to Wembley
Stadium. It is anticipated that he will be replaced by a highly
respected figure from the Sporting World in the near future.
What progress has been made in the transport strategy
for the Games, including discussions with private transport operators
and policy on car transport and parking? What is the estimate
for the use of different modes of transport to major venues on
major event days?
Potentially up to one million people will visit
Manchester to watch the Games. Many others will want to come to
share in the experience and to visit the associated Cultural Festival.
M2002's current working hypothesis based on experience elsewhere
is that 80 per cent of visitors will be day visitors and that
these people will come from an area which is within two hour's
travelling time of the City. Work is currently underway by specialist
transportation planners to assist in the identification and evaluation
of trip patterns which would be generated, and the options that
people will then have for getting to and around Manchester. This
includes the preparation of forecasts of the modal split both
for people coming to and travelling within Manchester between
different venues by session.
For all trips, both Manchester City Council
and M2002 would wish as far as possible to encourage as many people
as possible to visit the Games on public transport as this will
reduce the demands on the local road network. As far as travel
to Manchester is concerned, Manchester lies at the hub of an extensive
inter-regional rail network that provides frequent links with
all the major conurbations and M2002 intends to work with all
operators to develop attractive ticketing packages for the Games.
M2002 will also be working with coach and tour operators to facilitate
travel to Manchester for the Games. As far as travel between venues
is concerned, M2002 is already in discussion with the private
bus operators who operate in Manchester about the possibility
of introducing special ticketing arrangements at the time of the
Games, the aim of which is to try to ensure that a Games ticket
will also include access to local public transport. A key requirement
will be the need to provide for the large numbers of people moving
between the City Centre and Sportcity and the provision of a shuttle
bus service on a dedicated route by making use of the eventual
Metrolink alignment and bringing forward infrastructure which
will ultimately be required for Metrolink has already been the
subject of discussions with DETR. A key factor in encouraging
people to use public transport to get to Manchester will be the
availability of late evening services to get people home and this
is equally true for people making relatively short journeys to
the City. Apart from Metrolink, which provides a frequent service
until after midnight, most local bus and rail services operate
at much reduced frequencies in the evenings. Discussions are therefore
taking place with the bus operators to ensure that suitable public
transport is available late in the evening to take people home
after evening sessions and similar discussions will be had with
local rail operators once the outcome of the current tendering
exercise for local rail services is known.
Whilst every effort will be made to encourage
people to come to Manchester by public transport, many people
will undoubtedly want to use the car to get to the city. The work
which is currently underway will provide more information about
the nature of the demands that are likely to have to be met in
relation to car parking and on the identification of potential
temporary car parking provision during the games. The objective
will be to ensure that even when cars are used to get to Manchester
they are not used to travel between venues. Both M2002 and the
City Council recognise the importance of ensuring that car parking
arrangements at venues are sensitive to local areas and needs.
The key to a successful Games will be to harness
all the resources that normally meet these needs in a way which
will meet the requirements of the people who visit the City for
the Games and which also facilitates the smooth operation of all
the other activity in the City, including the Cultural Festival.
Given the legislative framework within which public transport
is provided in the City this has to be achieved by negotiation
and with the goodwill of all the operators and discussions are
underway to deliver this outcome.
What is the timetable for completion of sponsorship
agreements? And what is the current position with regard to sponsorships?
M2002 Ltd has announced over £18 million
of commercial income including four official sponsors and two
official partners (each investment between £1 million and
£8 million). Further sponsorship announcements are expected
The focus to date has been on securing agreements
with companies whose products/services make up an essential element
of Games implementation, where the sponsors' early engagement
has assisted M2002 to either reduce costs, reduce risk or enhance
M2002 would anticipate formalising major sponsorship
deals throughout 2001 and well into 2002non-operationally
critical sponsorships can be signed right up to the month of competition
(and past experience of major events demonstrates that they often
5. CAPITAL BUDGET
& REVENUE BUDGET
Will the company provide the Committee with separate
budgets for capital and running costs for the Games?
Have there been any changes in the estimated outturn
for any facilities being developed for the Games and, if so, what
is the reason for any revision of estimated outturn?
5.1 CAPITAL BUDGET
Manchester City Council is responsible for procuring
the new facilities within Manchester which will be required for
use during the 2002 Commonwealth Games period.
The Manchester Aquatics Centre is a partnership
between the City Council, Sport England, the ASA and the three
Manchester Universities. The Centre was officially opened by HM
The Queen on 12 October 2000, and was delivered on budget for
£32.7 million. The centre will accommodate the swimming,
synchronised swimming and diving events.
The International Convention Centre is now nearing
practical completion and is a joint venture between the Council,
English Partnerships, G-Mex Ltd. It incorporates funding contributions
from a range of public agencies including the European Union.
This facility will also be delivered on budget (£23.3 million)
and will accommodate the Weightlifting event during the Games.
Gymnastics, Judo and Wrestling will also be held in the adjacent
The Belle Vue Leisure Centre will be the location
for Hockey. This is a partnership between the City Council, Sport
England and the English Hockey Association. Two water-based hockey
pitches will be provided together with overlay facilities. A planning
application has been made which will be determined shortly. Tender
documentation is now being prepared. A contractor will be appointed
in March allowing for a 22 week construction period with practical
completion of the new facility being achieved in September 2001.
The majority funding for this facility is being provided by Sport
England. The present estimate is of the order of £3 million.
The English Institute of Sport represents the
several sports facilities to be provided at Eastlands as part
of Sportcity, in partnership with Sport England and Governing
Bodies. It will accommodate Squash and Table Tennis for the Games.
The scheme was granted planning permission in September 2000,
and a contractor was appointed on 15 December 2000. Site construction
works commenced in January 2001. Practical completion is scheduled
by the end of February 2002. The construction contract has been
let in full accordance with the budget of £16.7 million which
remains the outturn target.
The City of Manchester Stadium itself remains
on programme. The Council has now let 86 per cent of the works
packages and substantial completion will be achieved by the end
of this year when access for fit-out will be available. Most of
the frame is now complete and roof steelworks operations commenced
in November 2000. Practical completion of the Stadium in Games
mode (including fit-out) will be in March 2002. The current projected
costs (excluding land and internal project management) for this
Phase of the Stadium and advanced work and fees for Phase 2 (conversion
of the Games Stadium for subsequent occupation by Manchester City
Football Club (MCFC) in 2003) are £87.5 millionthe
current approved budget for Phase 1 and 2 of the Stadium is £94
million. A report will be submitted to the City Council in June
2001 when the fixed costs of Phase 2 should be clearer. The Council
is working with English Partnerships and the North West Development
Agency on a strategy for implementing a high quality public realm
for the Eastlands site which will link the Sportcity development
with the Ashton Canal corridor. It is also working with GMPTE
on the integration of Metrolink works on the site and with AMEC
who are responsible for delivering the associated commercial development.
The operation and functionality of the Stadium
in Games "mode" takes into account all current M2002
requirements, including fit-out for which agreement has been reached
with MCFC (the ultimate occupiers) on procurement details. A specialist
operator for the stadium will be appointed shortly following competition.
For the visit of the Select Committee to Manchester a technical
paper will be provided showing the detailed specification of the
stadium in Games "mode".
The other Games development within Manchester
is at Heaton Park which will host the Lawn Bowls events. These
costs of £1 million are funded entirely by the City Council.
The project remains on target for pre-event play to be possible
in August of this year. Green construction and turf production
is well advanced, with the turf being laid in early spring. A
contractor has been appointed for the main pavilion.
Outside Manchester, two venues require development/enhancement.
The new indoor Arena at Bolton (which will be used for Badminton
during the Games) is well advanced and will be completed shortly.
The budget for the Arena is £16 million and is being funded
by Sport England, the Lawn Tennis Association, Bolton Council
and the Foundation for Sports and the Arts. The National Shooting
Centre at Bisley will be redeveloped at a cost of £6.7 million
and this development is being overseen by Sport England. This
too is being procured in accordance with programmes.
All facilities for the Games are either complete,
or on programme for successful completion in time for the Games.
Sport England's contribution to facilities within Manchester is
currently fixed at £119.4 million (including £77 million
for the Stadium). The City Council's capital contribution to date
for all facilities which will be used for the Games is presently
at £40.75 million (including land and other costs such as
5.2 Revenue Budget
The Revenue Budget for M2002 Limited is in the
process of being reviewed as operational plans are becoming more
clearly defined. The budget prior to any revisions which may arise
from this process is as follows:
|Sponsorship and TV incomeTicket sales||55.05.0
||Property insurance, office equipment and other corporate services
|Merchandise and licensing||2.0
||Venue hire, fitout and management
||Sports, medical and athletes' travel
||Marketing and publications
||Volunteers and ceremonies
In addition to the budget above, the Government has committed
in principle to provide funding of £10.5 million to enhance
the quality of the Opening and Closing ceremonies above the amount
included within the £62 million.
The cost of human resources is also excluded from the £62
million budget as these costs are being met by Manchester City
Council through a combination of secondments of its own staff
and the payment of salaries of staff recruited externally. The
present budgeted cost to the City Council of this support is £10.5
6. ETHICAL TRADING
What progress has been made on a code of practice on ethical
trading for the Games and, if this code of practice has been finalised,
can a copy be supplied.
Please refer to attached "Sustainability Strategy"
which has now been adopted by the Company.
7. CGF EVALUATION RESULTS
What criticisms of the preparations for the Games were made
in the recent independent audit and what is the company's response
to those criticisms.
The report from the CGF detailing the results of the recent
independent evaluation visit will be forwarded to the Select Committee
when it has been finalised. It is anticipated that the report
will be available in early February.
8. TELEVISION RIGHTS
What is the timetable for negotiations on the sale of overseas
The BBC was appointed as host broadcaster and domestic rights
holder for the Commonwealth Games in February 2000. Since then,
Manchester 2002 has been working closely with its TV advisors
to sell the TV rights overseas.
The major Commonwealth markets are Australia, New Zealand,
Canada, South Africa, Asia and the Indian sub-continent.
The Australian rights have been sold to Channel Seven which
was announced on 19 January 2001. In respect of other markets,
discussions with broadcasters are ongoing and it is intended that
Heads of Terms should be agreed by Spring 2001.
9. LESSONS LEARNT
What lessons were learnt by organisers from observation of
the Sydney Olympics?
A report giving an overview of the key lessons learnt by
the organisers is attached.*
A successful Games is crucial in the national interest. We
must as a Nation consistently attract world class sporting events
to this country.
History has shown us that hosting a major sporting event
which merely creates significant amounts of civic pride and feelings
of goodwill is no longer enough. Responsibility to address social
exclusion, disadvantaged communities and to bring about regeneration
in run down areas is now recognised as an essential part of hosting
Across the world, nations and cities are competing in bids
for major events in order to secure the positive legacy benefits
they can deliver to their host communities. The Games offer a
UK potential to secure direct and indirect benefits in economic,
tourism, social and sporting terms.
The impact of the Games will be felt long after the event
closes on 4 August 2002. Manchester will have new world class
sporting venues which will be used by the community, elite athletes
and provide a compelling attraction when bidding for future international
Sporting facilities are the most tangible legacy for Manchester
and the North West region which are designed for maximum usage
post-2002 by elite athletes and community. Sport England will
ensure sport development initiatives are in place and through
the Spirit of Friendship Festival will deliver a programme of
events aimed at stimulating grass roots sport and curriculum to
promote sport in schools.
Sportcity in East Manchester is one of the biggest investments
in sporting facilities this country has ever seen where the City
of Manchester Stadium will be the focal point for the Games. There
will be seating for 38,000 during the Games and this will be increased
by 10,000 after the Games when the Stadium is handed over to MCFC.
This will be joined by a range of facilities for elite athletes
and the community. Major commercial investment is also now committed
subject only to planning.
The Manchester Aquatics Centre, the first new venue for the
Games, completed two years ahead of the Games, is the only complex
in the country with two fifty metre pools. Improvements to other
sporting facilities such as Belle Vue where the hockey will be
located, at Heaton Park's new lawn bowling greens, a new sports
facility is being built in Bolton for the badminton event and
a £4 million upgrade to shooting facilities in Bisley, Surrey.
The Government is committed to providing more sporting opportunities
to more people, working with Sport England. The Sport Strategy
which the Government has implemented pulls together a wide range
of initiatives actively encouraging sport in the community. A
number of initiatives are in place to make sure that happens including
the appointment of 600 schools sports co-ordinators to work at
grass root levels.
The Games will be an inspiration to youngsters all over the
country. With such exposure we anticipate more young people will
come through to take part in sport.
The Games and associated facilities are predicted to produce
significant economic benefits at a local and regional level.
4,494 total direct permanent and 10 year equivalent
998 net additional permanent and 10 year equivalent
40 hectares of land reclaimed;
51,223 square metres of new floorspace for related
retail and leisure development;
£110 million increase in Gross Value Added.
At the regional level a further 1,187 total direct permanent
and 10 year jobs are expected.
The economic and social regeneration of East Manchester is
now gaining increasing momentum. A partnership involving the City
Council, the community, English Partnerships and the NWDA is driving
forward overall regeneration plans which place Sportcity at their
The XVII Commonwealth Games Volunteer Programme will be the
largest single recruitment training and placement exercise of
this nature to have taken place in the UK in peacetime. 15,000
volunteers will be recruited and the Games will set new standards
in volunteering. Particular emphasis is being made to link the
volunteer programme with local people throughout Manchester and
In terms of tourism the combination of physical improvements,
the cultural festival and the Games themselves will present a
vibrant and attractive image to visitors and will have a positive
impact on future visitor numbers to the region.
Major sporting events play a key role in marketing the region
and UK overseas. The Games lie at the heart of both the British
Tourist Association's Sport Tourism Strategy and the North West
Tourist Board drive to attract more tourists to the region.
There are benefits to be gained from NW partnerships. There
will be educational and employment initiatives, sports development
and healthy living activities which will impact upon the health
education and lifestyle of people in the region. These are being
reinforced through a Single Regeneration Budget programme which
is related to the Commonwealth Games.
The 2002 Commonwealth Games represents a unique and unprecedented
opportunity for Manchester and the whole region to promote itself
on a worldwide stage and to create a long-term legacy at a national,
regional and local level. The combination of the biggest multi-sport
event ever held in this country with Her Majesty The Queen's Golden
Jubilee makes the overall event and the festival one of national
The XVII Commonwealth Games will be good for Manchester,
the North West and the countryit will be a once in a lifetime
experience. Everyone should Count Themselves In!
Plans for the 2002 Games are on target and on course for
success. Organisers look forward to welcoming the Select Committee
to Manchester in March.
We are confident that we will rise to the challenge of setting
a new benchmark in the hosting of major international events through
the delivery of the 2002 Commonwealth Games.
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