Tessa Jowell Has Pledge

The Olympics minister Tessa Jowell rejected designs for the aquatics center being built for London 2012 amid fears that the project's costs would spiral to almost double the planned budget. At a speech delivered to the Thames Gateway Forum last Wednesday Jowell insisted that the government's decision to overrule plans was evidence that it would keep a tight rein on Olympic budgets.

"I have had to send the designers of the Olympic aquatics centre back to the drawing board because a change in the specification had almost doubled costs, which is simply unacceptable," she said. "In our bid we pledged that the centre would cost £75m and that is precisely what it will do, with appropriate allowance for inflation. I cannot give anyone a complete assurance that costs for the 2012 Games will not rise. But what I will do is be absolutely ruthless in ensuring that any potential overspend, no matter how small, is caught early and driven back down wherever possible."

The architect for the 20,000-seat arena, which is set to house two 50m swimming pools and a separate 25m diving pool, is Zaha Hadid, whose work was commissioned for the Mind Zone at the Millennium Dome. Construction has already begun at the site and, although some of the more lavish plans will have to be scaled back, Hadid and the co-designer S&P will continue to lead the project.

Though the problems have arisen at the aquatics centre, where swimming, synchronised swimming, diving and water-polo events are to be held, the government expects similar over-runs to be encountered at other venues. It would deal with them in exactly the same way.

"The point Tessa was making was that a potentially significant increase in the cost for the aquatics centre was identified by our early warning systems," a government source said. "We are dealing with it and that is a sign of our overall approach to the Olympic project.

"We are spending public money and it has to be spent prudently and wisely. We're working with the design team, Sport England and the London Development Agency to contain costs [at the aquatics centre]. We are confident this can be achieved without compromising Zaha Hadid's innovative design."

Another government insider told the industry magazine Construction News: "This is not a slight on the architect at all; the issue is simply one of price." Both Hadid and the LDA were unavailable for comment last night.

A consortium that includes the urban planners EDAW, the architects HOK Sport - the designers of the new Wembley stadium - Foreign Office Architects, and Allies and Mason drew up pre-bid plans. These were signed off, along with the budgets, by Sport England and the government prior to the submission of the bid.

With the treasury putting pressure on the department of culture, media and sport, which Jowell heads, not to overspend on the agreed sums, the Olympics minister has pledged to ensure that there is no extra burden on the public purse or London council taxpayers.

London 2012 organisers yesterday revealed details of the Association of London Government's annual survey of residents' attitudes in the capital in which there was strong support for the legacy of the games. Some 68% of those polled said the games would present long-term benefits to Londoners; the figure rose to 78% of those between 18 and 34.

"Being the host of the 2012 Olympic and Paralympic Games is not just an honour but provides the capital and all its residents with a whole host of exciting opportunities," said Sir Robin Wales, the chair of the ALG. "I am glad that so many young people recognise this."