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An Overview - Sport New Zealand

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THE VALUE OF SPORT<br />

7<br />

The importance of valuing the benefits of<br />

sport and recreation<br />

<strong>Sport</strong> and recreation are highly valued in <strong>New</strong> <strong>Zealand</strong>. Individuals and<br />

communities invest considerable amounts of time and money in sport and<br />

recreation. There are more than 15,000 sport and recreation clubs at a local<br />

level, supported by approximately 776,000 volunteers. Large areas of <strong>New</strong><br />

<strong>Zealand</strong> are managed by the Department of Conservation ‘for conservation,<br />

scientific and recreational purposes’. Local councils invest billions of dollars<br />

in indoor and outdoor sport and recreation facilities that cater for everyone,<br />

from youngsters first learning to chase after a ball to professional athletes<br />

competing in front of a television audience of millions. Community clubs and<br />

private businesses complement these public facilities by providing their own<br />

goods and services to <strong>New</strong> <strong>Zealand</strong>ers engaged in sport and recreation.<br />

Given this high level of public and private investment, it is important to have<br />

some shared understanding of the benefits (minus any costs) produced by<br />

participation in sport and recreation. This is recognised internationally, where<br />

there is considerable interest in valuing the benefits of sport and recreation.<br />

In Europe, for example, researchers and statisticians are working towards<br />

creating <strong>Sport</strong> Satellite Accounts (which sit alongside the National Accounts)<br />

for countries in the European Union. More generally, it is now commonplace<br />

for provinces and regions around the world to commission studies on the<br />

contribution of sport and recreation to their local economies.<br />

Consequently, SPARC commissioned Professor Paul Dalziel to prepare a<br />

comprehensive framework to value the benefits of sport and recreation in<br />

<strong>New</strong> <strong>Zealand</strong>. The framework was designed to be consistent with similar<br />

overseas research and it used the latest available data.<br />

These new estimates update those from studies carried<br />

out more than a decade ago for the Hillary<br />

Commission. The work also drew on a more recent<br />

preliminary analysis completed for SPARC by NZIER.<br />

A full copy of the AERU report The Economic and Social<br />

Value of <strong>Sport</strong> and Recreation to <strong>New</strong> <strong>Zealand</strong> (which<br />

includes much more detail, including information<br />

about data sources and reports referred to here)<br />

can be downloaded from the SPARC website.<br />

On an average day,<br />

200,000 people watch<br />

rugby, netball and<br />

tennis matches on TV<br />

One-third of <strong>New</strong><br />

<strong>Zealand</strong>’s total land<br />

area is managed by<br />

the Department of<br />

Conservation<br />

<strong>New</strong> <strong>Zealand</strong><br />

households spend<br />

$1.3 billion on sports<br />

goods and equipment<br />

– as much as they spend<br />

on dining out<br />

Central government<br />

spends $500 million on<br />

sport and recreation

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