December 10, 2008

AUSTRALIA'S hopes of hosting the 2018 World Cup have been boosted with the Federal Government announcing $45 million in funding to help with the bid.

The unprecedented financial backing means Football Federation Australia has the resources to mount a serious bid, with governing body FIFA likely to make a decision in two years' time on who will host the 2018 and possibly 2022 World Cups.

Though Australia faces a huge challenge in seeing off other contenders such as England and the United States, the statement of intent behind the government backing is crucial to a winning strategy.

The decision to approve the federal spending has been months in the making, with football chiefs making a series of ventures to Canberra to present detailed modelling of the overall benefits in hosting a tournament of unparalleled size, way beyond the sport itself.

Sports Minister Kate Ellis and FFA chairman Frank Lowy have detailed the process by which the money will be spent, but it is likely to include drawing up detailed plans for investment in infrastructure such as transport and hotels.

They will also seek to head off criticism from other sports over government funding for football, which will approach $78 million, by pointing to the huge benefits to the country as a whole in terms of upgraded facilities and an influx of tourists.

"The World Cup campaign is a separate project which is not taking funds from other sports," Ellis said.

"Hosting the World Cup would provide Australia a unique opportunity with great benefits to the wider community, not just the football fraternity ... and bring significant economic benefit to Australia including boosts to tourism, infrastructure and jobs around the country."

Recent research by economist John Williams of the NSW Parliamentary Library estimated hosting the 2018 World Cup could contribute $5.4 billion to the local economy.

The last World Cup, two years ago in Germany, was estimated to have brought some two million international visitors and given work to around 85,000 people.

The confirmation of funding is the culmination of a charm offensive nationally and with every state government to ensure each is aware, and supportive, of the legislative and funding requirements of a serious bid.

As well as major upgrades of transport networks and accommodation resources, a successful bid will require at least 12 stadiums with 40,000 or more capacity, and a list of suitable venues and potential new ones has already been compiled in an audit prepared by consultants PricewaterhouseCoopers.

It's believed those listed for consideration include Sydney Football Stadium, ANZ Stadium and EnergyAustralia Stadium in NSW, the MCG and Telstra Dome in Melbourne, Adelaide's AAMI Stadium, and Brisbane's Suncorp Stadium.