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Commonwealth bid city to pull out Commonwealth bid city pulls out
(31 minutes later)
One of Glasgow's rivals to host the 2014 Commowealth Games looks set to pull out of the race. One of Glasgow's rivals to host the 2014 Commowealth Games has pulled out of the race.
The Canadian city of Halifax and the province of Nova Scotia have withdrawn support from the bid due to concerns over a projected $1.7bn budget. The Canadian city of Halifax and the province of Nova Scotia withdrew support from the bid due to concerns over a projected $1.7bn budget.
Without the backing of the two levels of government, the Halifax bid team is expected to drop out of the race. The Commonwealth Games Federation (CGF) confirmed that Halifax had withdrawn from the bidding process as a result.
That would leave Glasgow and Abuja in Nigeria in the race. The winner will be announced this autumn. The move leaves Glasgow and Abuja in Nigeria in the race. The winner will be announced in November.
Halifax announced its bid in March 2006.Halifax announced its bid in March 2006.
We will not jeopardise our fiscal position Peter KellyMayor of HalifaxWe will not jeopardise our fiscal position Peter KellyMayor of Halifax
However, reviews of the operating and capital costs revealed that the bid's budget had reached nearly $1.7bn - almost $1bn more than originally expected.However, reviews of the operating and capital costs revealed that the bid's budget had reached nearly $1.7bn - almost $1bn more than originally expected.
In a statement, Barry Barnet, minister of health promotion and protection, said: "We have said from the beginning that we would only support a bid that does not compromise the province's fiscal position, is the right size for Nova Scotia and leaves a lasting legacy for residents.In a statement, Barry Barnet, minister of health promotion and protection, said: "We have said from the beginning that we would only support a bid that does not compromise the province's fiscal position, is the right size for Nova Scotia and leaves a lasting legacy for residents.
"I am personally extremely disappointed with this outcome but the results of the independent assessments and our own due diligence process are clear."I am personally extremely disappointed with this outcome but the results of the independent assessments and our own due diligence process are clear.
"The risks associated with pursuing the Games are simply too high.""The risks associated with pursuing the Games are simply too high."
Consultants analysed the potential legacy of a successful bid, as well as value for money, projected revenue and economic impact.Consultants analysed the potential legacy of a successful bid, as well as value for money, projected revenue and economic impact.
'Significant risks''Significant risks'
Their report found "a number of significant risks" of hosting the event, including a higher than anticipated need for public funding and insufficient contingency funding.Their report found "a number of significant risks" of hosting the event, including a higher than anticipated need for public funding and insufficient contingency funding.
The statement said this could "leave the provincial government vulnerable in the event of cost over-runs".The statement said this could "leave the provincial government vulnerable in the event of cost over-runs".
The mayor of Halifax, Peter Kelly, said: "Our commitment has always been to the taxpayers of this municipality.The mayor of Halifax, Peter Kelly, said: "Our commitment has always been to the taxpayers of this municipality.
It's deeply disappointing for the people of Canada Michael CooperCommonwealth Games Federation
"We were hopeful we would be in a position to support the games but, given the concerns raised through the consultants' reports, we cannot support going forward."We were hopeful we would be in a position to support the games but, given the concerns raised through the consultants' reports, we cannot support going forward.
"We will not jeopardise our fiscal position.""We will not jeopardise our fiscal position."
Michael Cooper, chief executive officer of the CGF, said Dr Andrew Pipe, president of Commonwealth Games Canada, had called him to withdraw from the race.
"He formally notified me that as a consequence of the withdrawal of support by both the province and municipality, Halifax are out of the bid," he said.
"He said he was astonished at the decision. It's deeply disappointing for the people of Canada.
"That leaves Glasgow and Abuja in the running and we wish the very best to those countries and cities."