Govt spending $256m to keep sector viable

THE Government’s spend of $265 million on sport can not come soon enough for most organisations but there are strings attached.

Minister of Sport and Recreation Grant Robertson announced the hefty package yesterday and said it wanted the sports sector to remain viable in the wake of Covid19.

Robertson said Covid19 had resulted in much of the sector's funding drying up and had put sports — particularly at a community level — under immense strain.

‘‘We have also seen many of our professional sports and athletes struggle as competitions have been cancelled or suspended. Budget 2020 will provide some assistance, so they can keep competing,’’ Robertson said.

The funding would allow sports at all levels to remain viable, get stronger and adapt, he said.

‘‘Sport New Zealand and High Performance Sport New Zealand will work closely with national sport and recreation organisations, as well as the professional teams and clubs to ensure the new funding is allocated fairly and appropriately across the system.’’

Robertson said yesterday some money would be made available to professional teams in a matter of days to keep them ticking over.

Professional sport has been hit particularly hard by the pandemic.

No money is coming from broadcasters and when or if games kick off, the stands will be empty. Income streams have effectively gone to zero.

Super Rugby teams have been forced into making redundancies or cutting wages, while most sporting groups have also applied for the wage subsidy.

Even those who do not have professional teams are feeling the pinch. Many winter sport organisations did not even get their seasons under way so have had no or little money flowing in from subscriptions or sponsorship. They have shifted to fourday weeks.

Robertson, though, said he had not signed a blank cheque.

There is $83 million in shortterm support to help sport and recreation organisations at all levels to get through the initial impact of Covid19.

Another $104 million will be allocated to help the sector rebuild in the medium term, so national and regional sports organisations can make changes in order to operate successfully in the postpandemic environment.

This will include supporting new operating models and more collaboration.

Then $78 million has been set aside for innovative approaches to deliver play, active recreation and sport into the future.

Though Robertson was not specific, it is not difficult to see where change will occur.

Sports groups may have to look at sharing facilities, eliminating dual roles and splitting between the amateur and professional roles. Development officers could work year round in more than one sport and administrators look after multiple sports.

A $15 million fund was opened by Sport New Zealand last week to aid community sporting groups and organisations.

The sport and recreation sector contributed about $5 billion a year to New Zealand's GDP and employed more than 53,000 people, Robertson said.