Select Committee on Culture, Media and Sport Minutes of Evidence


Examination of Witnesses (Questions 320 - 338)

TUESDAY 15 JANUARY 2008

MAYOR SIR ROBIN WALES, MAYOR JULES PIPE, COUNCILLOR DENISE JONES, COUNCILLOR CLYDE LOAKES AND MR PETER BUNDEY

  Q320  Mr Hall: One of the most important things with the Olympics—and this is a very important part of the bid—was the active involvement of communities in the whole project. You are a very powerful voice for your communities. Is the Olympic Delivery Authority listening to what you are saying, in terms of community engagement?

  Sir Robin Wales: Yes. I come back again: the establishment of the steering group for the Park is a very important step. We have government ministers, we have the Mayor, we have all the boroughs, and we have LOCOG and the ODA all sitting round the table agreeing how we go forward. There has been some significant movement now together. We have had a Visioning Day, we have got a vision for the Park, we have got ideas of what we would like to have in the Park, and we are now saying we will have an international competition, but there are a number of development platforms after the Games which can be developed. So we are saying let us have an international competition. Let us not us, as politicians, say what we think should go in it, let us ask people in the private sector what ideas they might have to make that work. That is all coming from partnership working. I would have to say that, as a governance model, it is working extremely well. If I can praise ourselves, if you take things like putting together all the services that need to be provided, we, as five boroughs, have worked together very closely to do a lot of this work. As an example of local government working together and working well with regional and national government, I think it is a very positive story. I do not expect it to be reported because I realise it is positive, but it is a very positive story. I expect to see exactly the same thing as LOCOG begins to work. What we need are discussions around volunteering, and the stuff that LOCOG will do, and I expect to see the same sort of approach. I would say, after a few hiccups, we are moving along.

  Mr Pipe: Just to add to that, that partnership working and, also, community engagement is going to increase more and more as the focus turns more to the Cultural Olympiad, the build-up of volunteering and, also—as it is already doing so—to discussions for legacy. If there was any bad impression initially it was because it was a "by necessity" approach to a big civil engineering project that had four or five years to be done in, and that was that. As we move away from that kind of focus and on to one more about Cultural Olympiad, volunteering and legacy, that kind of engagement is going to increase.

  Councillor Jones: If you take the Aquatics Centre as an example of something that, actually, we would have liked to have been involved in designing at the beginning, to make sure that it is going to happen, we are very concerned that local people will benefit from the right kind of fees and so on afterwards. We have been working together, making sure that Tower Hamlets is making a contribution and Newham is making a contribution—capital contribution—to making sure that is built.

  Councillor Loakes: Just to echo comments that have already been made, it is a very complex and challenging relationship. Not every local authority or group of local authorities will be able to claim that they have put together such a significant and massive regeneration event during their time in office. Certainly, from a Waltham Forest perspective, we have had our challenges with the ODA and LOCOG but we have used the various vehicles that have been set up, through the five borough group and the steering group, to iron out those challenges and come to an understanding on the best way forward to benefit the residents of Waltham Forest but, also, to continue to deliver this fantastic event in 2012. It is not to say there are not challenges, but the engagement is actually getting better all the time because the organisation committee, as well as the ODA, recognise that they are not going to deliver a successful Games unless they carry local people with them. Therefore, there is a premium on that level of engagement with elected representatives as well as those communities directly.

  Q321  Mr Hall: Mr Bundey, you have a slightly different view about community engagement, do you not, because you say that all cities traditionally start to try and invent the community engagement afresh rather than building on existing structures. Is that true of the London Olympics? Are we in danger of falling into that trap?

  Mr Bundey: That has already been mentioned this morning, and I think that is very true; there is a danger of that trap and that is something we need to keep our eyes open to. Legacy does not fall out of the Games; it is not something that just happens at the end of the Games, it has to be planned into the Games. One of the encouragements I have had today, listening to the first session, was the amount of scrutiny that you are putting into the legacy. We are a co-operative, social enterprise, with charitable objectives, working to promote sport and inclusion through sport to benefit communities. The reality is that you cannot just drop something into the middle of an existing community network, existing sport network, and existing sport infrastructure, and then expect it to work. That is why there is engagement with the boroughs—and we are working with all the five host boroughs as partners and 9 other boroughs in London. You cannot just drop it in without dealing those communities in. It cannot be done to the community, it has to be done by the community. As you know, a lot of British sport, UK sport, is propped up by volunteers, individuals and small groups, and those people need to feel involved. When the bid came we raised 35,000 signatories on top of the signatories that had already been raised nationally, so it showed the level of interest and goodwill that was around within London in our facilities. The reality is we have to harness that. There is a Paralympian and an Olympian joining me here today because they are working out in the communities to inspire local kids, to inspire people. The issue is about how do you capture that and how do you take the spirit of the Olympics and the Paralympics and get it out to the communities. The one thing that I would raise and the one thing I think there is a danger on is protection of the brand. The IOC puts a big cloak around the Rings, the Paralympic symbols and how that brand is captured into a commercial sponsorship opportunity for the Games. That is, clearly, very, very important—the commercials have to work to make the Games stack up—but the community also needs something to hang on to; we need to be imaginative in how we get round some of those prescriptive measures to make sure that we can put some logos out, we can put some brands out and we can actually associate with the Games and get some of the feel from the Games. The danger is if you cannot mention the Olympics and you cannot mention the Paralympics, then how do you inspire people? So we need to be very conscious about how we engage with that.

  Q322  Mr Hall: Do you think the International Olympic Committee is too protective of the Five Rings and the other logos?

  Mr Bundey: My personal view is yes. My personal view is that if you look at the past Games, then the legacy and community engagement is not particularly good. The one thing that is encouraging about London—and I have to say I echo the boroughs—is that there is some good work going on with the ODA and the LDA on community engagement; there are certainly stakeholder groups involved in the design of facilities (I sit on the Aquatics Centre design group) that are starting to raise those difficult questions now so that we can actually breach some of these issues of legacy. The nearer to the Games it gets the less chance we have got.

  Sir Robin Wales: Can I just say something on the brand? I am also on the LOCOG Board so I see it from both sides. There is a real problem with the brand. It needs to raise a lot of money, and if it does not you will be asking why not. I think what is being attempted, though, is a non-commercial brand that we can use. Certainly, as boroughs, we want it as quickly as possible and we want to use that brand, and I echo Peter's comments that we want to get that as quickly as we can. Equally, LOCOG has to raise the money, it has to protect the brand and it has to be careful with that, but a non-commercial brand would be helpful. What I am not sure about, which I think is interesting, is that although LOCOG is doing some good work, I think, on signing up partners, those partners are going to want to invest a lot of money in a whole variety of projects up and down the country, and I think one of the things we have underestimated, perhaps, or not looked sufficiently at, is the benefit the rest of the country is going to get from partners who want to get the whole country involved; they do not just want to be involved in London, they want the whole country. That will provide funding in all sorts of places that we, perhaps, have not had. So I think that is quite an interesting spin we will see in terms of spin-off from the Games. I am not sure what the incentive will be, but I think that is quite interesting. I will say, in defending LOCOG, I think they are aware of the importance of involving the community, they understand the need to get the brand out but they also have to get this money. So it is a balance, we understand that, and of course we will, as boroughs, push to get it as quickly as we can.

  Q323  Chairman: When we were in British Columbia looking at Vancouver's preparations, we were told that the provincial authorities actually had to obtain permission to use the Rings on some of their literature. Have you sought similar permission?

  Sir Robin Wales: It is a non-commercial brand that is being developed quite early on, and we are very keen to get that and then use it. That is being negotiated at the moment. The host boroughs will be first up to use that, and sooner rather than later. However, as I say, yes, we would take the brand tomorrow but it is that balance with sponsorship and people paying for it. We have to understand that. It is right and proper that is done, but there is a genuine recognition from LOCOG (I cannot speak with two hats here) of the importance of this, and they are quite keen to free that up as best they can, and the non-commercial brand will be, I think, very significant.

  Q324  Rosemary McKenna: First of all, can I raise an issue that was briefly mentioned by Jules, and it is about volunteering. Having experienced the huge benefits of volunteering, because I attended the Commonwealth Games in Victoria and saw how much work was done by the volunteers, I have two questions. First of all, the training that is being given to them—is that ongoing and how is it going on the local community getting involved? Can you deal with that one first?

  Councillor Loakes: Our Waltham Forest adult education services are running a number of volunteer programmes to start to prepare people for the opportunities from volunteering. Of course, what we are trying to do is, also, ensure that the opportunities to volunteer before the Games they kind of get first dibs on, so that there is some continuous benefit between now and 2012. We have been very successful in getting a lot of our adults through those volunteer programmes.

  Q325  Rosemary McKenna: I think it is really, really important that you get as many people as you can involved.

  Sir Robin Wales: There are two things here. One is, obviously, we will want to bring people from all over the country to be part of the Games, and that is important, because then different parts of the country get involved. We all recognise that you can volunteer, perhaps, to be in the Park but there are loads of other volunteer opportunities around it, and it is about us trying to engage with our communities. If we can get them volunteering and doing things now—we do a volunteering scheme and we have been looking to see: "Can we then get people moving from there into employment?" Very interestingly, we have managed to get some into employment but we also have evidence that people who are not working think that is their contribution and do not want to stop doing the volunteering and go into work. We will be doing research on that, so we are working now because we see it as a way of pushing people towards employment as they get connected. Clearly, all of us have plans to have extensive volunteering programmes; the more the merrier and the more people can get involved in that and the more they are part of it, the better. I think that is extremely important.

  Q326  Rosemary McKenna: That is part of the legacy as well.

  Sir Robin Wales: Yes, absolutely.

  Q327  Rosemary McKenna: People will continue; once they have done some kind of volunteering, they tend to continue to do more. Thank you. Can I ask you about how you feel your views are being reflected? You are not on the Olympic Board, and you do not have any direct representation on the Olympic Board. Do you feel that they are listening to your views or are you struggling?

  Sir Robin Wales: I am on LOCOG and LOCOG absolutely listens to every word we say with great interest. I think people are listening. There were some initiatives—and I think Jules explained why that is—but people are trying very hard to listen. Do they give us what we want? No. Do we expect that? No. There is an engagement, and I think quite an adult engagement. I think there is a willingness to listen. Sometimes, clearly, costs and things like that will drive things in a particular way, so we will not necessarily agree with some of the things that are done. I think the Park thing recently was very positive,[5] with people having real vision about what they wanted to do and the sort of place we want to build. The challenge will be to deliver that. I think people are trying to listen and trying to work with us, but it is a challenge. It will not be exactly as we want. So, yes, I think they are coming in good faith, to be honest.

  Councillor Jones: Also, Neale Coleman mentioned earlier that there is a regeneration board that has been set up that we will sit on together.

  Q328  Rosemary McKenna: You already mentioned that; you said you thought there was a very good structure within that, and you are confident that that structure will be sufficiently strong for you to be really, really involved in the regeneration aspects of it. That is one of the biggest things, I think, that persuaded the Government that it was a good thing to do the Olympics and to bid for them.

  Councillor Loakes: We do actually have very good access to those on the Olympic Board when and if required. So, for example, certainly from Waltham Forest's and Hackney's perspective, the northern sports hub that comprises Hackney Marshes, the Manor and the velodrome in Newham, there are some bridges that are integral to actually making that a successful sports hub, and ourselves and Hackney have been at the forefront of lobbying quite hard with David Higgins and Alison Nimmo to make sure that they understand the full implications of ensuring that those bridges are maintained and do go in and do exist in a legacy context. Otherwise, that northern sports hub, which, for all intents and purposes, is a community sports facility, will not work or function as well as it possibly could.

  Councillor Jones: I would endorse that because the bridges also running from Tower Hamlets across the two rivers are needed after the Games as well as during the Games. That is very important.

  Q329  Rosemary McKenna: So you see a real legacy for the five host boroughs in the future?

  Councillor Jones: Yes.

  Sir Robin Wales: Far be it for me to suggest what the Committee should do, but it would be really helpful if we can try to get an understanding in the public about, actually, the development of the communities. London is expanding, and a lot of the expansion is going to come in this area. You need housing; you need places for them to come. We need to make it work and we need to make it sustainable. We need to get the people who are not in employment into employment; we need to get people connected and doing things. We need to develop a Park that will be an east London and a north-east London Park, that we do not have anywhere. If we can recognise that that, and developing that sustainably, will be a long-term benefit to the UK and not just to the local populations perhaps we can just focus on that and say: "That is what we have got to get out of these Games first". If we get that and we make sure that is a priority, then at the end of the time the money that will come out, or whatever, in 2030 will be a bonus. However, if we can say publicly: "That is what we have to do; we have to transform this area and get people into work and change people's lives there", because it is a huge area of deprivation, then I think we will engage in more effective debate because then we will actually be making sure there is a permanent legacy. We need to focus on that and the more you do that the more helpful it will be for us.

  Mr Pipe: As well as changing the realities for people who live there—for example, employment—I think what is key as well is that we have to change the reputation of East London. If anyone says: "North London", "West London" or "South London", everyone has an image—usually positive—of those places, but as soon as someone says: "East London" it is automatically linked with Dickensian poverty in many people's minds.

  Q330  Rosemary McKenna: That is exactly what they are trying to do in Glasgow with the East End in the Commonwealth Games.

  Councillor Loakes: It is not just about saying to the ODA: "You have to do this for us". We have to make the most of some of these opportunities ourselves. I know that all of us are investing in various different ways in different services to ensure that we maximise the opportunities from the Games. So, for example, we are putting up money towards our Cultural Olympiad offer, from October this year, to make sure that that is successful. We can hang around and wait for DCMS or ODA, or whoever, to give us money, until the cows come home, but it actually starts this October. For a lot of residents that will be one of the major points of engagement; for a lot of residents that will be one of the first key milestones of the 2012 Games, when that torch is handed over in Beijing, and in October, when we launch the Cultural Olympiad. So we cannot hang around and wait forever; we have got to do a lot ourselves and not just keep thinking that the ODA needs to answer this question and deliver on this question.

  Q331  Paul Farrelly: Just on that point, I gave you very good notice of my question on kids and sports and participation, which has been talked about. I am boring people now because I mention it every time, but the most noticeable way is to say: "These are the five London boroughs and, Mr Bundey, Pro-Active East we are going to deliver a playable sports surface in every school on our patch. We are going to tap you, the Government, and you, the sponsors, who are awash with money, to deliver that, and it is good for us and it is good for you".

  Sir Robin Wales: We can then say that sponsors should spend their money in the East End of London rather than the rest of the country. I like that. I will go for it.

  Q332  Paul Farrelly: It is a no-brainer for the leaders' group.

  Sir Robin Wales: Yes. Each of us has different requirements in different boroughs. Each of us can give you a story. For example, in my borough, we introduced free swims way back, to try and get to kids, and we are currently drawing up a programme and saying: "What do we want to invest in, in terms of a sports infrastructure, between now and 2012?" We are significantly cutting our budget elsewhere so that we can fund that. I think the sports infrastructure will be critical. We have got a programme where, again, we have cut budgets so that we can invest heavily in activity, both for adults and for young people, because the adults' investment is often left behind in this, but, actually, it is a big factor in reducing ill-health and mental ill-health in adults—or older people. We have set up the Newham Sports Academy. I think 70% of all medals come from people from independent schools, from private schools, so we have set up a sports academy in Newham (with Tessa Sanderson) funding it, saying: "We want to help the kids, the Ds and Es that never get a chance because they have not got the support, the good ones, to get access to medals, so that they can then come back and say to other kids: `Look, I can do that, why don't you take part in sport?'" That is what we are doing in Newham. Each of my colleagues can tell you exactly the same story, but with different emphasis, because each of us has different requirements. Jules sits with the biggest number of football pitches in the world in one place; he has got something very special—so we have each got different things and I think we all recognise the importance of that. Investing in that is absolutely critical, and the more we can get support for that from the sponsors or from the Government the better.

  Councillor Loakes: It is about using the government programmes. So, for example, Building Schools for the Future, in Waltham Forest we are using that to totally revamp the sports offer that there is in our secondary schools currently. So the Leytonstone School, the new community sports facility there, during the day serves the school population but in the evening serves the local community population. That is a brand new facility. At Mayville Primary School, we have put in a synthetic, all-purpose sports pitch, and that is the first in Waltham Forest for a primary school. So it is there at the forefront of our mind, and when other government programmes are coming on board we are ensuring that we link the Olympics and Paralympics with what we want to do in those schools to ensure that we maximise the opportunities. Like Newham, in Waltham Forest we have been doing the free swims, and our target around participation in sport—two hours a week—in one year has gone from 63% to 87%. I am not happy with that, I want it 100% in an Olympic host borough, and we will be pushing hard on that and will probably make that one of our local area agreement targets that we are currently in negotiation with. So there is a lot that we can do. We have a "Tour de Waltham Forest" now, a celebration of cycling and bikes and all that is fit and healthy, because that is something that we know adults are particularly keen to participate in. That is a new festival that we added to our programme last year. So we are just building all the time on what we already do and making sure that it gets linked to the positive aspects of the Olympics and Paralympic Games.

  Councillor Jones: Without going into detail, in Tower Hamlets we are also working with the Primary Care Trust, so we are sharing budgets, looking at preventative health, so that sports activities and healthy initiatives are being set up for people of all ages.

  Mr Bundey: To round up, that is exactly spot on. No borough is the same, and across the UK, not just in London, every borough will be doing what the five boroughs are doing, which is looking at their sporting provision, looking at their sporting infrastructure, and building on that, so that, hopefully, coming out of the Olympics, the demand from young people and adults to get into sports facilities is such that we are going to have to look at a major expansion programme to cope with the capacity.

  Mr Pipe: I would like to say that in Hackney, and we have mentioned the pitches and the £3.5 million that is going in there—£2 million from the LDA and £1.5 million from Hackney itself—in investment in the facilities. One highlight would be that we have opened a 50-metre lido which has attracted 100,000 people to use it in one year. There are probably few pools that could say that they have actually attracted that level of participation. Also, just one anecdote, there is a Paralympian who is going to Beijing who says that he probably would not be able to do it if it was not for that pool there because it would have been too far to travel to train.

  Mr Bundey: He is actually sitting behind you now.

  Chairman: We need to quickly move on to legacy.

  Q333  Philip Davies: In Manchester, they knew before they designed their stadium that Manchester City were going to be the people taking over afterwards. Do you think that decisions have got to be taken now about the design of the Olympic Stadium, and things like that, even though no legacy tenant has been agreed?

  Sir Robin Wales: Clearly, in Manchester, they had some idea beforehand and were moving forward. We would probably have supported (I would as a West Ham season ticket holder) them going into the centre, but, actually, what has happened is quite an imaginative and innovative legacy development from the Mayor, who has been able to identify some land which is more appropriate for West Ham. So from a point of view of the borough, I could probably say now that a significant legacy benefit is likely to be in use for West Ham in a better part of the borough, freeing up some of my borough and making it work. I think the work they are now doing for the tenants of the stadium and how we run the Aquatics Centre afterwards, people are working it through, they are trying to be imaginative and they are trying to come up with some ideas. I think it is a good example. There was a bit of a problem at the beginning but I think it is settling down and people are trying to resolve it. So I would probably say that I am quite hopeful that we will end up with a solution to these problems. In the meantime, I can genuinely say that I think we have had something, in terms of West Ham, in the borough which is, effectively, legacy; it would not have happened but for the Games, and that for us is quite a significant gain in our borough.

  Mr Pipe: There is a similar tension around the IBC. It arises from the same thing that we have already touched on before: initially there is the drive to get it right for the Games and get on because they have got to let contracts. At the moment there are still two consortia involved who are vying to build the IBC, and hopefully that will be sorted by February and they will know which consortium is going forward. It is absolutely vital then that that consortia and the ODA talk to the array of broadcasters and recording industry people and others that we have put together that we want to see as the end-users, because they are saying to us they are not going to be interested in taking on that venue afterwards if they have not had some input into the spec, and it is something that they will be interested in. Whilst, yes, okay, we will end up with a shed that someone is going to want to pay a lot of money for afterwards, it does not do that trick that I spoke about before about changing the reputation of the area. Soho cannot give the power supplies to the creative and film and broadcasting industry, Hoxton is bursting at the seams with digital and creative media industries; they want somewhere new where the location is right, it is accessible and all the power supplies are there, and all the support that they need. This location, the IBC, the MPC and the surrounding areas is absolutely ideal for that, but we will lose the opportunity for that to happen if the ODA do not do as they have committed they will do. They have committed to do this, but they must do this. Come February/March, when we know who the contractor and the consortium is, they must start talking to those people that we and Hackney borough have actually put in front of them.

  Q334  Philip Davies: Obviously, we are all interested spectators as to what is happening, but do you have a preferred model of ownership and operation of the Olympic Park—what you would like to see?

  Sir Robin Wales: I think the governance of the Park is an integral part of the discussion—how we do it. We would probably echo what Neale Coleman was saying earlier: we want to be part of the governance; we recognise you need to have business there, and it will be as it develops. What we have got is a governance body which enables us to engage effectively so we can develop a model for the Park afterwards. So the answer is I do not think we have a model at the moment; we recognise the different interests that need to be there and then, depending on the development, how that develops is really the governance structure you will want, but we have a body that can effectively take that forward. So the answer is no, we have not got an end game but we have got a process in place that will give us the end game, and give us it with some confidence. I think it is fair to say this from my colleagues: we have a lot more confidence now in the development and partnership that has been working and the improvements in relationships. That is down to what Jules is saying; that initially it was: "We must get this done, we must get it done on time". I think, as that has gone on and we have worked together with developers in partnership I would certainly, personally, argue that I am feeling very comfortable about where we might end up with this. I do think the governance structure (I said it earlier) in this is probably better than anything else that is operating in regeneration elsewhere in London, including the rest of my borough. So I think this is a very good model because it is involving local councils in an effective way.

  Mr Bundey: From our point of view, having seen it from the ground, we would be comfortable with the LDA or the five boroughs in their approach as public guardians of the service. I think, generally, the issue around facilities is about flexibility for long-term legacy; to be flexible to meet demands and to make sure that we have got the ability to programme and get some community use into that. The reality of our structure is that the philosophy of the operator needs to match the philosophy of the guardian, so that it is a public asset from the five boroughs or from the LDA: a public asset, public benefit from the operator and the ongoing use of it. There has been discussion in the Aquatics Centre, for example, about softening off into leisure water, into flexibility with movable floors and booms, which helps all of the programming side, and it is quite right there is debate coming forward now. There is a healthy debate—it has already been mentioned early on—and that healthy debate is being had with the ODA, and they are listening through the stakeholder groups.

  Q335  Adam Price: You said in your submission that there is not enough money allocated in the budget for legacy for transformation of the Olympic Park and venues. You also said it is too soon to put a figure on it. So how do you know it is not enough?

  Sir Robin Wales: I think it is more we said there is a concern about it. We are concerned. As we have said, we must get the legacy right. We must get a place that is sustainable and that we do not knock down in 40 years. We must get a place where the communities work so that then there is less cost overall to the taxpayer. We must get a place where people are aspirational and get into work. Those are all challenges, in how you do that and how you develop that. If we said that has got to be a guiding principle, there will be a sum of money involved in that. Neale Coleman was making the point that we do not know how much money is going to come from this. One of the things with the international competition that we are going out to for some of the development platforms is that we could get something very interesting that will supply a lot of money to the public purse. I do not know. Hopefully, it is "to go" to the rest of the world. It is "eyeball" economics. People are going to look at this area in the next four years in a way that they would not have done otherwise. This can transform the reputation but it could bring people in who would never have thought of the area. What do they bring? How do we then use that? If you look at the O2, what a transformation, where somebody said: "I could do something with this". We do not know what is coming. What we have got to be saying is we must make sure that the first priority is to get this right. Then, if we do it properly, the money will be what it will be. If you take some principles and say the development of legacy and the sustainability in developing long term, for whole life, costs, then actually that is a better approach. We should then try, as far as we can, to maximise the benefit to the public purse always, but I think that is the priority. What we would be saying is we have concerns (and Neale Coleman said it as well): how dense do you want your housing? How much social housing do you want in it? Do you scrap all the social housing, build it dense and you get a big sum of money? But it will not be sustainable. So that is the debate we have to have, and we, as boroughs, are naturally concerned about it and raising it. I say again, and I said earlier, it would be very helpful if this Committee says that is actually a priority that should not be missed in arguing about sums of money.

  Q336  Adam Price: Do you currently expect, as local authorities, to have to make a contribution yourselves to the conversion costs, for instance, of any of the venues and facilities?

  Sir Robin Wales: We have already said ourselves, and Tower Hamlets have already said, we will make some of that contribution. If you take the aquatics, it has been agreed by the ODA to put in the movable floors that will enable the conversion, but then the question becomes: what are we then going to put in? I will give you an example: we would like leisure water; we want it for our communities and we are prepared to put some money in for leisure water for our communities. There is a proposal to build a block next to the aquatics. If you are doing that you will probably take Section 106 money as well, so where does that then leave the overall benefit? That is part of the debate you have to have. Just down the road, in Silvertown Quays, we have a development which is going to have the largest aquarium in Europe, Biota. Now, Section 106 money has gone into that because we recognise the benefit of developing that. Until somebody had the idea of putting an aquarium down there we would not have had that idea. So I genuinely think the legacy debate is happening early, people have come together in a structure that works, that enables us to have a debate. Is it solving our problems? Not yet, but we have a way of working it through. We need to decide what we want as a country and as communities. If we say develop these communities so that they will be net contributors to public purses (and a lot of housing benefit is paid in my borough) they actually can develop something different. Now we have a vision that actually will give us something better at the end of the day.

  Q337  Adam Price: Do you foresee any risk that you could be saddled with very substantial, long-term revenue costs? Is that part of the analysis that you have made?

  Sir Robin Wales: No, we would not take them!

  Q338  Adam Price: How big is the risk?

  Mr Pipe: As Robin said, we will not take them, really. I think it would be reasonable to expect the boroughs to make a significant contribution if they were expecting additionality. I think, really, there was almost a kind of a bargain struck (however much it might have been unsaid) when we embarked on this; that, effectively, this was meant to transform a run-down area of the finest city in Europe, and that should not be the way it is. In that bargain there was a certain amount of legacy. If we go beyond what was in the original brief, and do something that is specifically, really, just for local people, I think it would be reasonable to have the boroughs make a contribution.

  Sir Robin Wales: Could I give you an example? We happen to have in Newham an opera house. You will not be aware of this because it is one of the few opera houses in London. It is currently being used as a night club. We have looked at it and said: "Wouldn't it be good if we could convert that back into some sort of theatre or some sort of offer?" We will have to pay for that ourselves. It is right next to the Olympic Park. So if we do do that (and we are not sure that the money will stack up) we will do it ourselves; we will pay for it and we will raise money where we can, but we would not expect the Olympics to be paying for that. However, the fact of the Olympics and the Paralympics has made it possible for us to think about it. As I say, if the sums do not add up we will not do it, we will chuck it away and it will not be done. Another example is on the docks. It is interesting. We have looked at the docks because, of course, we talk about "the Park" because Excel has one of the largest number of sport events of any arena. On those docks, we are looking at putting in a lot of things. There are lots of floating opportunities: you can put all sorts of bridges floating in it, you could put greenhouses—there is lots of stuff that happens across Europe. So we are saying: "We want to develop the docks, link it in with the Olympics and do something interesting." We will have to pay for that. We expect to pay for that. We are piggy-backing on the back of the Olympics. The West Ham potential move will then open up the whole inside for us so that we can have a much better residential area there. Obviously, any costs from that we would expect to meet. It is using this and saying: "What could we do with this opportunity that is coming?" We will pay for those additionality things. We would expect to do that—that is our job.

  Mr Pipe: There is that awful word "synergy".

  Chairman: I think we will have to call a halt there, but thank you all very much indeed.





5   Note by witness: Refers to Vision day Back


 
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