Tour de France in York Was £60,000 Overbudget
6:03pm 4th November 2014
The Tour de France cost York taxpayers £60,000 more than was budgeted for, according to figures given to Minster FM.
There was a £187,000 loss in the Grand Departy concert held at the Huntington Stadium just before the Tour came to the city. There was also a £33,000 loss on the campsites set up for the Tour de France as well as £23,000 of costs from the cultural festival linked to the Tour de France.
Overall, there was a £60,000 loss to the city council from the event, which will now be met by cutting money for other events in York.
The budget agreed for the Tour de France to come to York was £1,664,000 but the event cost £1,827,000. However, a regional study has suggested the Yorkshire economy was boosted by £150 million from the Tour de France, £50 million more than first estimated.
York Council also points out that it cost them more £110,000 more than expected to pay for stewards, barriers and medical supplies in contracts which were negotiated jointly for all areas which hosted the event.
Sally Burns, Director, Communities & Neighbourhoods at City of York Council said:
“I’m pleased to confirm that the cost of the Tour de France event in York was broadly managed within the budget, despite a significant increase in costs that fell to the authority as part of the central procurement exercise and in the delivery of the events and festivals programme, which were not under the original scope of the event budget. Savings were successfully delivered across the management of the project to mitigate these additional costs. We have committed to manage the overspend of circa £60k within the council’s existing events budget.
“We’re already seeing the economic impact of this extraordinary event. The weekend saw an estimated 100,000 people celebrating le Tour in York, not to mention those who came from far and wide to witness and be part of the fantastic 100 days cultural festival here in the city and across the region. In addition, York has and continues to benefit from incredibly positive global media attention in relation to the event ensuring that the best of York is seen by billions of people worldwide, in the run up to, during and after the race, increasing York's profile as a place in which people want to live, work, visit and invest.”
TOUR DE FRANCE: WHERE WAS THE MONEY SPENT?
|COST||OVER/UNDER BUDGET (+/-)|
|Event costs (breakdown below)||£566,000||£2,000 overbudget|
|Project Management||£222,000||£1,000 overbudget|
|Marketing & Communications||£61,000||£39,000 underbudget|
|Regional Contributions||£481,000||£1,000 overbudget|
|Events & Festival||£252,000||£252,000 extra spent (no budget originally)|
GRAND DEPARTY CONCERT : £187,000 LOSS
|Event Management Fee||£18,000|
|Repairs, seats, gazebos, charity donations||£7,000|
|Savings from charing screen and barrier with Spectator Hub||-£5,000|
|TOTAL COST OF CONCERT||£206,000|
|Ticket Sales Income||£16,000|
|TOTAL INCOME FROM CONCERT||£19,000|
|TOTAL LOSS FROM GRAND DEPARTY CONCERT||£187,000|
"SERIOUS QUESTIONS" & "LESSONS TO BE LEARNT"
Opposition parties on York Council have told Minster FM they're concerned by the overspend for the Tour de France.
Keith Aspden, Opposition Lib Dem Group Leader told Minster FM:
“There are serious questions to be asked as to how the council lost money on the Tour De France. The botched camping plans and the last-minute decision to hold a concert at Huntington Stadium have lost taxpayers £33,000 and £187,000 respectively."
“The Liberal Democrats argued all along that Labour needed to produce a proper public business case backed-up with detailed financial plans for these events. Instead Labour shrouded the plans in secrecy and took decisions behind-closed-doors without proper public involvement or opposition councillor scrutiny."
“Given this, it is unsurprising that these council organised events have lost money and will now worryingly hit the communities and neighbourhoods budget by £60,000."
“Despite the mistakes made by the Labour run council, I am pleased that overall the Tour De France has had a positive impact on York businesses and the wider Yorkshire economy."
Opposition Conservative leader Chris Steward told Minster FM:
"Although it is disappointing that there is an overspend on the Tour de France we must realise the event was unprecedented in its nature and was a true success story for the region. It is important lessons are learnt where possible."
But Labour Cabinet Member for Leisure, Culture and Tourism, Sonja Crisp hit back saying:
“Councillor Aspden’s comments do little to hide the fact that the Lib Dems were always against bringing the Tour De France to York, seeking to undermine it at every opportunity, including in plans for camping in the city. On that they were successful."
“Although we are disappointed the event was slightly over budget, overall the event was a huge success and Labour being prepared to invest this money to support local business and a cycling legacy for York we feel was the right decision for the city. The economic impact was significant and that must be taken into account in assessing the success of bringing the Tour De France to York”.
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