Officials are at odds over Canberra's 2027 Rugby World Cup fate.
www.canberratimes.com.au
The real numbers behind the ACT's World Cup bid revealed after Barr's 'offer'
By
Caden Helmers
Updated January 31 2025 - 9:37am, first published 5:30am
The ACT government pitched a $500,000 per-game bid to have rugby union World Cup matches in Canberra, far less than the multimillion-dollar "package" Chief Minister Andrew Barr said had been rejected.
The capital will be sidelined from another major international event after World Cup organisers revealed the host cities for the 2027 tournament on Thursday.
Barr said the government presented a four-game offer for tier-c games that "amounted to around $2.5 million for each match" and would rise as high as $12 million in total pending ticket sales.
However, the "offer" Barr touted wasn't a promise of government funding. Instead, it was potential revenue from hospitality and ticket sales to the public.
The Canberra Times can reveal the actual cash pledge from the government was just $2 million in total for all four games - a $1.6 million payment to the World Cup and another $400,000 to be spent on a fan zone and free public transport.
And while Barr said the decision to bypass Canberra was "all about money", the most powerful man World Rugby - chairman Brett Robinson - said the ageing facilities at Canberra Stadium also counted against the capital.
Wallabies great Matt Giteau was stunned by the decision to snub Canberra, saying: "How can Canberra not get one game for RWC 2027? This can't be accurate surely."
Barr's spin on the figures created confusion. When all of that was stripped back, the government estimated a $2 million outlay would generate $9 million in economic activity for the city.
Businesses won't see any of that now after World Cup organisers formally rejected the proposal in writing to Barr this week.
"Given only the lowest tier games between qualifying nations were available, we put forward a realistic multimillion offer to Rugby Australia, that was financially responsible," Barr said.
"This included providing a rent-free, commercially clean match venue, marketing support, support for the provision of a rugby village fan zone, integrated ticketing and free public transport.
"Based on 75 per cent capacity attendance at each match (including ticket sale revenue and hospitality), the ACT government offer amounted to around $2.5 million for each match ($10m for four games)."
Brett Robinson and Andrew Barr are at odds over Canberra's World Cup fate. Pictures by Keegan Carroll
A stoush over costs, Canberra's stadium facilites and World Cup opportunities has been brewing since 2022, when rugby officials raised concerns about the city's involvement in the tournament.
The fact Robinson - the newly-elected World Rugby chairman and the ACT Brumbies' foundation captain - pointed to the facilities as a reason for Canberra's absence is a major blow to a stadium saga that has dragged on for 16 years.
Barr dismissed concerns about Canberra Stadium, saying World Rugby's decision was "all about money". Robinson, who played his first game at the venue in 1996, told a different story.
It's understood World Rugby officials had raised concerns about the stadium's lights, corporate facilities and even the wireless internet.
"At the end of the day, the facilities, the scale of the stadium we require and the economics of it just couldn't stack up with the local organising committee CEO and chair," Robinson said.
"We've just agreed that that's unfortunately not going to be an outcome. But as I've said, there are many other ways that Canberra will contribute to this great tournament.
"While it was disappointing we couldn't make the economics of it work for Canberra, there are other ways we connect through players, the administration and even how we might activate or locate different teams for their preparation.
"It's only an hour or two up the highway to [Sydney] for the Canberrans. I'm sure they will be disappointed about that, but ultimately as the Brumbies always have, they've contributed to our country's on-field and off-field performance in many ways."
The drama has been brewing for the
past three years after it was revealed the government was struggling to compete with bigger state governments in the battle for major sporting content.
All prospective bidders were asked to submit their financial contribution and the expected revenue opportunities for World Cup organisers via ticket sales and game-day hospitality.
Canberra cannot compete with the revenue opportunities at the biggest stadiums - at Homebush, the MCG or Perth - but it is comparible with similar sized venues at Newcastle, Townsville and Melbourne's rectangular stadium.
Townsville and Newcastle will host four games each, while Melbourne will host nine matches but it's unclear how those will be split between the MCG, Docklands and the rectangular venue.
Those three cities are backed by governments with deeper pockets than the ACT government and accordingly presented bids worth more than the $500,000 put up by the Barr's team and with the ability to generate greater profits via crowds.
But Canberra is one of only four Super Rugby locations and has been home to Australia's most successful franchise - the Brumbies. That wasn't enough to convince World Rugby into make some concessions and Canberra was overlooked.
Barr has drawn a line in the sand, refusing to pay what he deems "exorbitant" amounts to host minnow nations in tournament play.
He says the money is better spent on hosting the Socceroos, Matildas, Wallabies, Kangaroos or other national teams, dismissing the impact of World Cup fever like the Matildas mania that swept over Australia in 2023.
It also overlooks the fact that an average crowd of 20,482 watched Italy, Wales, Tonga and Canada play rugby World Cup matches in Canberra in 2003.
Admittedly, rugby union was in the midst of a golden era 22 years ago, and the sport was thriving compared to the dwindling crowds and interest over the past decade.
The failure to strike a deal stunned Wallabies and Brumbies great Matt Giteau.
South Africa won the World Cup in 2023. Picture AP
"How can Canberra not get one game for RWC 2027? This can't be accurate surely," Giteau wrote on social media.
"Growth of the game down here is as crucial as it is around the country. Most successful Super Rugby team and we get [donuts] down this way."
But if Barr and World Rugby bosses can agree on one thing, it's this: the numbers don't add up.
Critics naturally turn to a heavy investment in AFL games, with Barr forced to defend a 10-year, $28.5 million investment to have the GWS Giants play three games per season at Manuka Oval.
Barr pointed to investment in the Brumbies, Raiders, Canberra United and the Canberra Capitals as a counter-argument, reiterating his is the only government in Australia to financially back national-league teams and that they would cease to exist with the support.
Barr is adamant the rugby World Cup offer was realistic and financially responsible, claiming tournament organisers were more interested in markets with a bigger population.
Rugby Australia has indicated it is keen to work with the ACT government to strike a deal for Rugby Championship, or one-off Tests.
"It's a World Rugby tournament, run by the World Rugby local organising committee," Rugby Australia chief executive Phil Waugh said.
"Those decisions are with World Rugby. Clearly, the governments put forward their level of interest, and clearly, commercial terms are a big part of that. We've had great support around the country from state governments."
Barr bit back at the idea he is a "stooge" for the AFL who cares little for investing in other sports when he said the ACT government's World Cup bid was
worth $2.5 million per game.
The $10 million figure is what World Rugby stood to gain if 75 per cent of tickets were sold for four matches at Canberra Stadium.
Had half of Canberra Stadium's seats been sold during four World Cup games in Canberra, Barr figured World Rugby stood to make $8 million. That number jumps to $10 million with three-quarters of the stadium filled, and $12 million from four sell-outs.