UK businesses wonder about the economic legacy of London 2012

Business leaders are questioning the government’s promise that London 2012 will leave a great economic legacy and boost the British business environment.

More than 75,000 firms that have been working on the London Olympic Games are fighting a 12-year gagging order preventing them from talking about the work they have done. The mainly British businesses have been lobbying the government and the Olympic Delivery Authority (ODA) for weeks. 

The rules are designed by the International Olympic Committee (IOC) to protect the big spending sponsors which are the only businesses that are to be connected with the Olympics. 

Voices of protest, however, argue that the fact that companies supplying plastic seats, plumbing or construction equipment are not allowed to mention it on their websites makes a mockery of British Prime Minister David Cameron’s claim that the Olympics will boost economic growth because of the work created by firms associated with the event. 

The ban affects a wide range of firms, from the smaller subcontractors of services such as security and plumbing to the major construction companies which have built roads and stadiums. 

Adam Marshall, policy director of the British Chambers of Commerce, questioned why the companies working on the Games could not market their work after the Games were over, writes the Independent. 

He said: "Tens of thousands of UK companies, large and small, have worked on the Olympics and we want them to be able to shout from the rooftops about what they have done.

"It is one thing to want to protect the rights of some of the commercial sponsors during the Games themselves, but we would hope that businesses would be able to profit from what they have done after the Games have finished."

ODA chairman, Sir John Armitt, who is understood to be sympathetic to the companies’ point of view, is currently working on a review of the rules. The Department for Culture, Media and Sport has said that the report could be published before the Games begin. If Armitt’s report advocates a relaxation of IOC rules, it could force a major showdown between the Government and the Olympic body, writes the Independent. 

SOURCE: The Independent