State and Federal Governments Agree on $7 Billion Funding Deal for 2032 Brisbane Olympics

In a momentous decision that took more than a year and a half to make, the state and federal governments have come to an agreement on a $7 billion funding deal for the 2032 Brisbane Olympic and Paralympic Games. The decision was announced in front of the media and sports stars in Brisbane, with Prime Minister Anthony Albanese and Premier Annastacia Palaszczuk signing the deal.

The magnitude of the event is such that the Games are being dubbed as the biggest event to be hosted in Queensland. The infrastructure that is to be built from the funding is expected to have a long-term and transformational impact on the state, according to Albanese.

The agreement announced on Friday is a departure from the cost-sharing agreement originally considered by the governments, which was a 50-50 split. The deal that has been signed is also more expensive than the original cost estimates.

The latest news on the funding reveals that the $2.7 billion Gabba rebuild will now be the sole responsibility of the state government. The federal government, on the other hand, will contribute $2.5 billion towards a new Brisbane Arena at Roma Street, which will replace the original plan of building the arena on the site of the Queensland Police Service headquarters.

Although detailed plans and contracts are still being finalized, Palaszczuk is confident that both the 50,000-seat Gabba and the 17,000-seat Brisbane Arena, also known as Brisbane Live, will have long-term benefits for Brisbane. The Gabba has been a host to sports events for over a century, and is home to cricket and AFL most weeks of the year. It must be upgraded to maintain competitiveness for international sport and events. The Brisbane Arena will provide a new indoor entertainment center, something that Brisbane’s CBD has not had since the demolition of Festival Hall in 2003.

The Gabba rebuild will be the focal point of a major urban renewal project for Woolloongabba. The East Brisbane State School, which is adjacent to the stadium, will be closed, with its heritage-listed buildings being incorporated into the stadium precinct. There are plans to relocate the school to new facilities at the underutilized 11-hectare Coorparoo Secondary College site, which is not far away.

Sixteen new or upgraded venues, including the Sunshine Coast stadium and the Brisbane Aquatic Centre, will receive almost $1.87 billion in co-funding on a 50/50 basis between the two levels of government. The Woolloongabba Priority Development Area will also be expanded to include more of Woolloongabba and the Stanley Street precinct to South Bank.

Albanese believes that the federal government's $3.44 billion commitment, which is slightly less than the state's desired 50-50 split, is all about nation-building. The Games will consolidate Brisbane's position as a global city and a global powerhouse, with benefits to the whole of Queensland, as well as the national economy.