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- 01 August 2013 00:00
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"Think British" says Prime Minister as London 2012 provides nearly £10 billion boost to UK economy i
The London 2012 Olympic and Paralympic Games has provided a £9.9 billion trade and investment boost to the UK economy just one year into a four-year programme of activity and events, the Government have revealed.
The boost comes from British businesses securing contract wins, additional sales and new foreign investment in the last year on the back of London staging one of the most successful Olympics and Paralympics in history.
The latest figures suggest the total benefit to the UK from hosting London 2012 could reach up to £41 billion by 2020.
Prime Minister David Cameron says that the figures further demonstrate Britain’s ability to deliver following London 2012.
"This £9.9 billion boost to the UK economy is a reminder to the world that, if you want the best, if you want professionalism, if you want jobs done on time and on budget then you should think British,” said Cameron.
"With companies across the country we are harnessing the Olympic momentum and delivering the lasting business legacy of the Games that will help make Britain a winner in the global race.
"But that’s not where the good news ends.
"The Games are also delivering a strong social legacy.
"Last summer, Games Makers changed the way Britain views volunteering.
"Since then, thousands of people have been inspired to get involved with their local sports clubs.”
The £9.9 billion figure comes with a target of £11 billion of economic benefit having been set for July 2016 and Business Secretary Vince Cable says they are now well on track to better that target.
"There is no doubt that the London 2012 Games proved a success story for British business. This has created a multi-billion pound business springboard to take British expertise to the world, and UK Trade and Investment (UKTI) is working hard to make the most of this significant opportunity.
"UKTI has embraced the challenge of delivering £11 billion of economic benefit from the Olympics.
"Reaching £9.9bn in the space of one year is an amazing achievement.
"I hope that companies of all sizes up and down the country follow suit and use the positive impact generated by the Games to reach out to new markets and grow their businesses.”
Of the £9.9 billion of economic benefit so far from London 2012, £5.9 billion has come from additional sales from Olympic-related activity such as the British Business Embassy.
A further £2.5 billion of additional inward investment into the UK since the Games has generated more than 31,000 new jobs, with 58 per cent of the value invested outside London.
In addition, £1.5 billion of Olympic-related high value opportunities have been won overseas, including £120 million of contracts already won by UK companies for the Brazil 2014 World Cup and Rio 2016 Olympic and Paralympic Games, plus more than 60 contracts won by UK companies for the Sochi 2014 Winter Olympics and Russia 2018 World Cup.
"We proved the Olympo-sceptics in error when they declared that London couldn’t lay on a world class Games,” said Mayor of London Boris Johnson.
"We are now set to defy the doom-mongers when it comes to securing a permanent legacy.