IOC asks London 2012 for "clarity" on cost of Games

LAUSANNE, Switzerland, Feb 8 (Reuters) The International Olympic Committee (IOC) has asked London 2012 Games organisers to clarify costs for their Olympic park in a bid to ease concerns over alleged spiralling costs as reported in British media.

While happy with the pace of preparations, the IOC said on Thursday it had asked London organising body LOCOG to prepare a breakdown of all costs involved in the regeneration of an area in the city's East End which will be the Games' main site.

''Preparations are going very well and we have no concern,'' said Gilbert Felli, IOC Executive Director for Olympic Games. ''But we have asked when we go there (London) for a clear paper. We hope we can get it.'' The IOC is scheduled to visit London at the end of the month.

''We have asked our friends in London to present this breakdown of different aspects of the Olympic park so we have a better clarity,'' Felli told reporters after IOC chief inspector for London Denis Oswald delivered his progress report to the Executive Board.

Controversy over the financing of the 2012 Games is increasing as the budget, originally set at 2.4 billion pounds has crept up to 3.3 billion, with some media reports speculating it could spiral as high as nine billion.

Last week, Britain's National Audit Office's (NAO) issued a report criticising ministers for failing to decide how to split funding between the Treasury, the national lottery and local taxpayers in London.

The report came a week after parliament's Culture, Media and Sport committee also criticised the government's management of Games finances, saying budget figures were ''seriously outdated''.

Felli said while speculation about costs was normal in a democratic country, the IOC was mainly interested to see the costs ''for delivering the bid remain the same.'' Asked whether the speculation regarding the rise in costs was damaging the image of the Olympics in general he said: ''Yes, exactly.'' ''This is really a political discussion inside British politics,'' he said. ''Confidence is great and we have no doubt London will deliver on time.'' REUTERS PDS PM2119