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UK government announces £900 million package for physical activity and sport

By Kath Hudson    20 Jun 2025
Elite sports events can provide billions for the economy / Shutterstock-Jacob Lund
The DCMS has unveiled a £900 million funding package for sport
£400 million will be invested in grassroots community sports facilities to improve participation
£500 million is aimed at delivering economy-boosting, world class events
UK Active has offered to co-design a strategy to effectively channel resources

The UK's Department of Culture, Media and Sport (DCMS) has announced £900 million for major sporting events and grassroots sports across the UK, as part of the government’s Plan for Change.

At least £400 million will be invested in new and upgraded grassroots community facilities, while more than £500 million will be directed to support delivery of world class sporting events, including UEFA Euro 2028, Tour de France and Tour de France Femmes Grand Départs 2027.

This follows on from the funding commitment set out in last week’s Comprehensive Spending Review.

The elite sporting events will deliver significant economic benefits, with Euro 2028 expected to generate up to £2.4 billion in socio-economic value across the UK. Work is also ongoing to develop a bid to host the Women’s FIFA World Cup in 2035.

The £400 million for grassroots sports will be targeted at boosting activity among the under-represented groups, including women and girls, people with disabilities and ethnic communities.

This strategic investment is aimed at kickstarting economic growth by creating jobs, driving regional prosperity and encouraging visitors to the UK, as well as reducing barriers to participation in sport and physical activity and bringing communities together.

The DCMS will work closely with sporting bodies and local leaders to establish what each community needs and set out further plans.

Culture Secretary, Lisa Nandy, says: “Sport tells our national story in a way few other things can – uniting communities, inspiring millions and showcasing our nation on the global stage.

“This major backing for world-class events will drive economic growth across the country, delivering on our Plan for Change. Coupled with strong investment into grassroots sport, we’re creating a complete pathway to allow the next generation of sporting heroes to train and take part in sport in communities across the UK.”

Sport England chair, Chris Boardman, says this is welcome news: “With every £1 invested in community sport and physical activity generating £4.20 in value for our economy, supporting grassroots facilities isn’t just good for public health, it’s a smart investment in the nation’s social and economic wellbeing.”

UK Active CEO, Huw Edwards, welcomed the funding and this could shift the dial on the nation’s activity levels, but only if it is targeted in the right areas: “The government must avoid repeating the mistakes made by previous governments and work with the sport and physical activity sector to channel funding into the facilities and programmes that are meeting consumer demand.

“Our figures show growing public demand for gyms, pools and leisure centres across the UK, so we look forward to seeing how this investment supports the growth of these facilities so even more people can benefit.

“Investment in grassroots sport can support the sports stars of the future, but it has a much greater role in shaping the physical and mental health of the next generation and reducing the pressure on the NHS by preventing ill health.

“We are ready to work with the government to co-design a strategy that sees our sector maximise this investment to drive economic growth and inspire people of all ages to get active.”

The Spending Review was unveiled last week.

Department of Culture Media and Sport  Plan for Change  Lisa Nandy  Huw Edwards  Spending Review  Sport England  Chris Boardman 
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