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Is optimism about the economic impact of the FIFA World Cup 2026 deflating in B.C.?
With just three weeks until the June 13 kickoff for the first of Vancouver’s seven matches, some demand indicators like hotel bookings and ticket prices are flashing warning signs.
Meanwhile, new estimates from the federal Parliamentary Budget Officer (PBO) put the cost per game at $82 million, estimating the seven Vancouver matches would cost a total of $578 million.
It’s enough to at least raise some concerns, says Jarrett Vaughan, an adjunct professor at the University of British Columbia’s Sauder School of Business.
Speaking on CBC’s On the Coast, Vaughan said Vancouver’s economy always gets a boost from being on the world stage.
“The challenge is going to be what happens if those visitors don’t come? What happens if they don’t come to the games? What happens if it’s just simply too expensive to be here?” he said.
“Are the trade-offs worth it? And we won’t know for a long time.”
Questions of demand
The provincial government has estimated FIFA will draw over 350,000 fans to B.C. Place, while Vancouver Mayor Ken Sim has compared the tournament to hosting 30 to 40 Super Bowls.
But this week, tourism industry association Destination Vancouver revealed that hotel bookings in Vancouver were actually down 20 per cent in June compared to the year prior.
Jacqui McMullen, general manager of Vancouver’s Times Square Suites Hotel, says it’s left operators on edge.
“In some cases, we’re still waiting, I think, for people to understand where they want to go, which city they want to pick,” she told CBC News.
We’re less than a month from kickoff to the FIFA World Cup in Vancouver. Tourism experts wonder if this event will be the economic boon that many have touted it to be. As CBC’s Amelia John reports, hotel bookings in the city are down for June.
Wayne Smith, director of Toronto Metropolitan University’s Institute for Hospitality and Tourism Research, says prices could be a factor.
Some Vancouver hotel rooms during the FIFA period are listed at more than $500 per night.
“The increase right now is looking at 113 per cent increase in pricing from this time last year,” Smith said.
Destination Vancouver says it’s “optimistic of a late surge,” and that scheduled air arrivals in the region are up six per cent between June and August.
There are also questions about ticket demand.
With the FIFA World Cup right around the corner, you may still be trying to get tickets to a match. And it may now cost you less. TicketData.com, a website devoted to tracking ticket prices, says World Cup ticket costs have dipped. Our Dan Burritt talks to Keith Pagello, the founder of the website.
While some fans have said they were “flabbergasted” by pricey tickets, an online ticket tracker says prices are actually falling.
Keith Pagello, founder of ticketdata.com, told CBC News that prices for Vancouver World Cup group stage matches are down about 16 per cent.
The dip has been more pronounced for games where Canada isn’t playing. One match between Australia and Turkey, for example, saw prices tumble from $921 in September to $300 in May.
“The prices for a long time were absolutely sky high, they’re kind of just coming back down to reality,” Pagello said.
“FIFA was trying to optimize for revenue here and they sold tickets for high prices when they could and now, well, they are trying to move the rest of the inventory.”
Hosting the FIFA World Cup will cost Canadian taxpayers just over $1 billion, a Parliamentary Budget Officer report says. Roughly half of that money will come from Ottawa, with the rest coming from other levels of government.
Sales of premium tickets for the FIFA Vancouver fan festival at the PNE’s new amphitheatre have also been sluggish, with large volumes of seats still available even for Canada matches.
Ian Tostenson, president and CEO of the B.C. Restaurant and Foodservices Association, said he’s still confident FIFA will pay off.
He’s anticipating a bump in downtown foot traffic due both to matches and free programming offered by the city.
Restaurants are also banking on fans who want to have a communal sports experience coming out to catch matches on TVs.
“Vancouver is a last minute town — they don’t commit, and then they commit,” he said.
“People will go, in the middle of the day, and say you know what? I’ve got a reason to leave the office and go watch a soccer game.”
Vancouver is set to host seven of the 13 World Cup scheduled in Canada. A total of 104 games will take place across North America from June 11 to July 19.
The provincial government has disputed the PBO’s cost estimate, and says it will provide its own updated figures next week.
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