Transformative Influence Of Sports On Welsh Society And Economy

In 2018, our unwavering commitment to unraveling the profound impact of sports on both society and the economy prompted us to embark on a remarkable journey. This voyage of discovery led us to commission a comprehensive research study in Wales, undertaken by the eminent Sport Industry Research Centre (SIRC) at Sheffield Hallam University. Our quest aimed to shed light on the multifaceted social and economic value that sports bestow upon this vibrant region.

The first segment of this extensive study bore the weighty ambition of quantifying the social impact of sports in Wales during 2016/17, employing a pioneering framework known as Social Return on Investment (SROI). Remarkably, this was the first instance where the SROI framework was applied to gauge the broader social contributions of sports in Wales.

SROI - Unveiling the Unseen

The Wales SROI model set out to estimate the value of several crucial outcomes:

• Health: This encompassed the reduced risk of chronic diseases such as coronary heart disease, stroke, breast cancer, colon cancer, Type 2 diabetes, dementia, and clinical depression. Furthermore, it factored in the overall improvement in health for participants.

• Subjective Well-being: The framework considered the enhanced well-being experienced by both participants and volunteers.

• Social Capital: It explored the augmented social capital cultivated within communities.

• Education: The study delved into the improved educational achievements and the enhanced human capital this fosters.

• Crime: A significant reduction in criminal incidents within the community was a key facet.

• Non-Market Benefits: The unique advantages reaped by sports organizations that effectively utilize volunteers.

Key Revelations - The Astonishing Social Returns

The outcomes of this research were nothing short of astounding:

• Social Return on Investment in Sport: It was revealed that for every £1 invested in sports in Wales, an extraordinary return of £2.88 was realized. This translated to a staggering £3,428 million in benefits for Welsh communities stemming from participation and volunteering in sports during 2016/17.

• A Breakdown of the Value: The social value generated was attributed to various facets: enhanced social capital (valued at £651.47 million), improved education (£91.15 million), and reduced crime (£2.17 million). The lion's share, however, could be credited to improved health, contributing an impressive £295.17 million. Subjective well-being played a pivotal role, accounting for a substantial 60.6% of the social value generated in Wales.

The Economic Worth of Sports

The research's second facet delved into the economic importance of sports. The sports industry in Wales experienced a remarkable growth of 10%, reaching £1,142 million in 2016/17. Surprisingly, the sports sector outperformed industries like pharmaceuticals, travel, accommodation, and textiles within Wales.

The Economic Impact

The sporting economy emerged as a powerful contributor, with £1,182 million in Consumer Expenditure on Sport and a remarkable creation of 29,700 sport-related jobs in the same year.

Sports in Action - Contributing to the Economy

Here's a glimpse of how some of Wales' most prominent sports events and establishments have emerged as catalysts for economic growth:

• Principality Stadium: A 2016 report underscored the stadium's estimated value to the Welsh economy, standing at an astonishing £32.3 million in additional Welsh economic activity/output. A significant portion of this (£11.0 million) contributed to gross value added. The stadium's bustling events calendar also supported almost 400 full-time equivalent jobs, both within the stadium and across Wales through its extensive supply chain.

• UEFA Champions League Finals: In 2017, the UEFA Champions League Finals attracted 300,000 individuals to Cardiff City Centre, with 95,000 visitors hailing from outside Wales. This surge of visitors translated into a substantial £26,474,000 in spectator spending, infusing vibrancy into the local economy.

• Glamorgan Cricket Club: In 2015, the club's Gross Value Added (GVA) was assessed at an impressive £24 million, encompassing £5 million from hosting an Ashes Test match that year. This supported the creation of the equivalent of 230 full-time jobs. In 2018, two international matches held at Sophia Gardens contributed £2.6 million in consumer spending, culminating in an overall economic impact of £3.3 million.

• Long Course Weekend: The 2018 Long Course Weekend in Pembrokeshire generated an impressive £27 million in spectator/participant spending. Additionally, it bolstered local businesses, yielding over £9 million in revenue, and entailed £60,000 in donations to local villages as a token of appreciation for the invaluable assistance of volunteers in making the event a reality.

• Cardiff University/Cardiff Half Marathon: Runners who participated in the 2017 Cardiff Half Marathon injected £2.3 million into the city's economy during their visit.

• Velothon: The Velothon, in 2018, made a notable contribution, amounting to £886,370 in Gross Value Added. It attracted 5,598 spectators, each spending an average of £103 per day (excluding accommodation) in the capital.

In conclusion, this comprehensive study casts a spotlight on the extraordinary social and economic value of sports in Wales. From the remarkable returns on investment to the substantial contributions to the economy, it becomes clear that sports are not mere pastimes; they are dynamic forces propelling progress, well-being, and growth throughout the region.