The 2026 Commonwealth Games will not go ahead in regional Victoria, with the state government cancelling the event with less than three years to go.
Speaking at a press conference in Melbourne, Premier Daniel Andrews said the games would be cancelled, but a regional package of over $2 billion will go ahead.
"Each and every one of the legacy benefits will be built," he said.
"A very substantial regional tourism fund, a package for community based sport, and most importantly, $1 billion boost for social and affordable housing right across regional Victoria."
New estimates predict the games would cost $6 to $7 billion, he said.
"I will not take money out of hospitals and schools to host an event that is three times the cost estimated and budgeted for last year," he said.
Commonwealth Games organisers in London had been contacted last night, he said.
The games would be held in Ballarat, Geelong, Bendigo, and Morwell, with an opening ceremony at the MCG.
