2nd May 2012
"Overall, we think that the Olympics are unlikely to provide a substantial boost to the UK economy and believe that the impact of infrastructure developments on UK GDP has probably already been felt," says Richard Morawetz, at Moody's. "We expect the net impact of the Olympics on UK tourism will be positive overall, but far less than gross visitor numbers would suggest."
Corporate sponsors set to do well
Moody's expects that corporate sponsors such as Coca-Cola and McDonalds will benefit most from the Games. However, given the largely one-off impact of the Games on corporate profits, the rating agency does not expect that this alone will have an impact on ratings, which tend to take a longer-term view. But as most of the sponsors are worldwide brands, it will be hard to disentangle the London Olympics from other events such as the European football championships in Poland and the Ukraine.
But Olympics minister – and former fund manager – Hugh Robertson told Schroders, his one-time employer, that the Olympics project had been a success. Stressing the "importance the delivery of the games has made to the country's brand overseas," he says:"Up until the Olympics the record of delivery of major projects had been poor." He cites the Dome and Wembley stadium. "The project was delivered within time and under budget," he adds.
Telegraph readers disagree
Sadly for Robertson, normally sports-mad Telegraph readers , or at least those who post on the paper's business website, disagree. Of over 100 comments, only a tiny handful take a pro-Olympics