Su-Lin Tan

As I see it | Australia’s Commonwealth Games saga highlights more ills of embattled Big Four firms

Australia backing out of hosting the Commonwealth Games allows it to redirect finances to its people but spotlights the ills of major consulting firms

The Big Four in Australia are facing scrutiny for alleged corruption, conflicts of interests, and scheming off billions of dollars in government contracts

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A day after the hosting backflip, Australian Prime Minister Anthony Albanese was asked if the country was in a cost-of-living “crisis” as people struggle to pay medical bills and avoid cooking on gas stoves. Photo: Bloomberg

Su-Lin Tanin Singapore

Published: 10:30am, 21 Jul 2023

In a case of intertwining scandals, Australia’s most embarrassing moment this year might just save citizens some financial pain while unearthing more evidence against apparent cronyism and greedy corporations.

But first, a little bit more about that embarrassing moment. Victoria state’s Labor government – which this week walked away from hosting the 2026 Commonwealth Games and shocked the world – needs to buckle up as the opposition party, the centre-right Coalition and right-wing commentators go for the jugular.

Not hosting the games means the state government will skip the now much-larger A$6-7 billion (US$4-4.8 billion) bill but put some A$3 billion saved from that bill towards housing and facilities. Initial costings were A$2.6 billion.

That’s not much, but it counts when Victoria’s debt – as well as all of Australia’s private and public debt – is soaring.

Curiously, in press conferences with Victorian Premier Daniel Andrews and his team, few questions were asked about the impact of inflation on the decision, and in particular, rising construction costs. Most of the queries were about their numerical and political bungles.