Fears over Olympics cash for Wales

A committee of MPs has warned that it is still "uncertain" as to what extent Wales will benefit from the 2012 Olympics.

The Welsh affairs committee has called for any lottery money diverted from Wales for the 2012 Olympics to be recouped.

MPs said that whilst the games will provide an opportunity to promote sport in Wales, it will be "disadvantaged" by losing an estimated £100m.

The committee report warned that fewer sports facilities will be built and existing ones may not be maintained due to the shortage of cash.

MPs called on the London Organising Committee to develop educational resources in the Welsh language to ensure "all sections of Welsh society" are engaged with the Games.

Focus was also drawn on the decision to host canoeing and mountain biking events near London, despite facilities being available in Wales.

But Wales will benefit by hosting two Paralympic teams, Australia and New Zealand, for pre-Games training, the report found.

Committee chairman Hywel Francis stated: "It is not yet possible to say how or even if, Wales will benefit from the 2012 Olympics and Paralympics.

"There is a danger that Wales will end up losing out completely if diverted lottery money isn't recouped quickly."

Francis also highlighted the "huge potential" for Wales to play a significant contribution to 2012, specifically in its development of disability sports.

But a Department for Culture, Media and Sport spokeswoman said: "Welsh businesses are already benefiting from the Games, winning Olympic contracts directly with the Olympic Delivery Authority and through the supply chain."

She added that the Millennium Stadium in Cardiff will be hosting football matches in the competition.

"Wales is well placed to receive significant benefits from 2012," she said.