Olympic village will get public funding

The Olympic Delivery Authority (ODA) has admitted the Olympic village will require government funding to cover a shortfall of millions.

ODA chairman John Armitt said it was trying to negotiate to minimise the degree to which government funding is required.

He told the Guardian: “The government at the end of the day will have to come in and support the village (financially) – that is understood.”

Village developer Lend Lease has long been dogged by rumours it was struggling to raise the cash to fund the project due to restricted lending by banks.

Negotiations between the ODA and Lend Lease are expected to take the rest of the year, during which time the ODA will fund the start of construction work.