Select Committee on Culture, Media and Sport Appendices to the Minutes of Evidence


APPENDIX 20

Memorandum submitted by European Sponsorship Consultants Association

1. I write on behalf of the UK members of the European Sponsorship Consultants Association (ESCA) which is an independent, authoritative body comprising professional sponsorship consultants with the aim of promoting the effective and professional application of sponsorship practices throughout Europe.

2. As a body we represent over £300 million of sponsorship money. We talk to clients on a daily basis about marketing opportunities in this country through which they can promote their companies and brands. Their marketing activities actively assist the commercial and economic climate of the country.

3. This has been proved recently with the Commonwealth Games, through which £30 million of sponsorship money was raised—money which might otherwise have been lost to the economy.

4. There is no doubt that a successful bid by London to host the Olympic Games in 2012 would benefit the sponsorship industry. However, this is not the sole reason for this letter.

5. The Manchester Commonwealth Games achieved a number of valuable benefits for the country as a whole. First, there was the successful regeneration of East Manchester. Without the Games it is likely that this area would have lingered in deprivation for some time to come. The staging of major sports events not only provides improved sporting facilities for the event and for longer term use by sports bodies and the local community, but also leads to other capital development in terms of housing and business investment.

6. Second, there was a creation of a significant number of jobs in the area, both during the Games and continuing after them as one of the legacies. The economic impact of major sporting events has been proven on many occasions, both in terms of visitor expenditure, but also in respect of long-term employment and other income generation.

7. Third, as anyone in the local communities will testify, the Games brought a general uplifting spirit to the area, the benefits of which are uncalculable. The level of success of élite athletes is raised considerably through national motivation and home crowd support, as well as use of the improved facilities. Additionally, public support by spectators and the television audience is enormous, as was shown during Euro '96 and the Commonwealth Games. The interest in sport at this level is enormous, and affects most people throughout the country.

8. A successful London bid could bring similar benefits to East London, an area much in need of regeneration and possibly without any hope of seeing any tangible changes within the next two or three decades without a boost of this sort. Together with the general prosperity that bringing the Olympics to the country's capital, it seems impossible to believe that the Government won't give the go ahead to making a bid.

9. There seems a reluctance on the Government's part to believe that sport plays a part in the nation's well-being. There are plans afoot to bring tangible evidence to bear to prove this point. Certainly, in terms of the impact on Manchester, all the evidence suggests that the Commonwealth Games were the catalyst for major investment and regeneration for the city, and for the north west.

10. If the Government decides to back a bid for 2012, ESCA urges this decision to be supported at the highest level, with cross­party backing, and that there is input at Cabinet level to support this bid, as well as the staging of the Games if the bid is successful. Central funding will be needed to support the bid and the Games, and ESCA trusts that this will be found through additional expenditure, since the existing Lottery and exchequer funding for sport is already severely stretched. We believe that, despite the costs of backing a bid by London for the Olympics, the value in terms of promotion of the UK and the city of London overseas, the value of the newly required facilities, and the economic impact of such as major event on the whole of the country, not just London, will fully justify the financial resources that are required.

11. ESCA urges the Government to support a bid to bring the Olympics to London and follow the example set by Sydney. Australia's Government saw an opportunity to bring the country and its people a life­changing experience, an uplifting experience which would benefit Australia in a myriad of ways

12. This letter, on behalf of the UK members of ESCA, urges the UK Government to say 'Yes' to giving London, the UK and its people the same opportunity, but only if the full resources and support of the nation are put behind this initiative.

8 January 2003




 
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