IOC asks London 2012 Games for cost clarity

LAUSANNE, Switzerland, Feb 8 (Reuters) The International Olympic Committee (IOC) is asking London 2012 Games organisers for clarity over Olympic Park costs in a bid to ease concerns reported in British media.

While happy with the pace of preparations, the IOC today said 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 breakdown.

We hope we can get it.'' The IOC is scheduled to visit London at the end of the month.

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Sport committee also criticised the government's management of Games finances, saying budget figures were ''seriously outdated''.

Asked whether the speculation regarding the rise in costs was damaging the image of the Olympics in general Felli 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.'' IOC President Jacques Rogge said the visit to London later this month should settle budget concerns.

''I am quite sure that with the proper communication the concerns will be alleviated,'' Rogge told reporters.

He added: ''The investment made in London should be considered as an investment for the future of the nation, the youth of the nation. The sports infrastructure will not be there just for the 16 days of competition.'' REUTERS DKS BST0058