The credit crunch is likely to raise the cost of the London 2012 Olympics, a Mayor of London report said on Wednesday. The banking crisis and falling house prices will have serious implications for the Olympic Village development in Stratford, east London, resulting in more public money being spent, the report written by David Ross said. Mayor of London Boris Johnson, who presented the report to the London Assembly on Wednesday, said: “We cannot put that at risk by reducing the quality of these homes and indeed I want to see this village as a model for new housing.” Cost pressures have affected the main venues, with the budget rising 106 million pounds since November. The cost of the main stadium has jumped from 29 million to 525 million pounds.
