The Output of the XG STAT Christian Helmenstein XG STAT Brussels 17 September 2013

Deliverables Deliverable 1: Policy Conclusions based on the Study on the Contribution of Sport to Economic Growth and Employment in the EU Deliverable 2: Sport Satellite Account Manuals Deliverable 3: Policy Recommendations based on the Study on a possible future sport monitoring function in the EU 2

Deliverable 1 Economics of Sport Objective: Derive policy conclusions based on an empirical representation of the EU-wide economy with focus on sport. EU-economy modelled using a Europe-wide multiregional input/output-table for sport. A plethora of economic results obtained. 7 policy recommendations derived. 3

Vilnius Definition of Sport applied. Three different economic sets of sport: –Statistical definition: sport according to the system of national accounts, i.e. a part of NACE 92.6, e.g. operation of swimming pools. –Narrow definition: statistical definition plus all goods and services which are needed to do sport, e.g. football shoes, billiard tables, repair services. –Broad definition: narrow definition plus all goods and services which use sport as an input, e.g. all sport-related tourism, sport betting. Sport Definitions 4

EU-Wide Results: Overview 5 Sport Definition: StatisticalNarrowBroad GVA28 bn 0.28%112 bn 1.13%174 bn 1.76% Employment0.66 m0.31%3.14 m1.49%4.46 m2.12% The table shows EU-wide sport-related direct gross value added (GVA) and employment in absolute terms and relative to the overall figure.

Gross Value Added 6 Top-5 contributing sectors to EU-wide GVA Broad definition, direct effects, in million

Policy Conclusion 1 Finding: Sport is under-documented and under-recognised. Share of sport: statistical definition: 0.28% of GVA (28 bn ) narrow definition: 1.13% of GVA (112 bn ) broad definition (direct effects only): 1.76% of GVA (174 bn ) broad definition (direct effects plus multipliers): 2.98% of GVA (294 bn ) PC1: Recognise sport as an important economic factor! 7

Policy Conclusion 2 Finding: Growth in sport is employment-intensive – sport contributes to counteracting unemployment: sport in overall EU employment: 2.12% share of sport in GVA: 1.76% But: significant cross-country differences in labour productivity! Training and education of professionals (not only athletes) is required. PC2: Enhance labour productivity in the sport sector! 8

Policy Conclusions 3 & 4 Finding: High degree of complementarity between professional sport and voluntary activity. PC3: Leverage the economic impact of voluntary activity via policy-making, e.g. through the formation of a EU-wide network of volunteering. Finding: Overall economic dynamics of sport characterised by divergence rather than convergence recently. PC4: Foster convergence across EU member states through sport, e.g. by expanding the sector in countries with a below-average share of GVA and employment in sport; establish a joint monitoring facility of upcoming large- scale sport events (with a time horizon of up to 16 years). 9

Policy Conclusions 5 & 6 Finding: Benefits associated with specialisation stem from the experience curve effect and the economies of scale effect, leading to unit cost degression, higher productivity and better service quality (improved competitiveness) PC5: Capitalise on the sizeable growth-enhancing specialisation advantages of sport. Finding: Large-scale events can positively interact with regional development strategies, in particular for professionalisation, institutionalisation, and innovation. PC6: Foster investment in sustainable sport infrastructure and institutions. 10

Policy Conclusion 7 Finding: Satellite accounts, especially if they are based upon a multi-regional input-output model, help identify strengths and weaknesses of the national data reporting and collection systems and may serve as a reference and coordination tool for data gathering. PC7: Propagate consistent sport documentation and the exchange of best-practice models. 11

Deliverable 2: SSA Manuals 12

Experience Put on Paper Calculating an SSA needs and creates experience. Each team drew upon a country-specific approach of sport-related data gathering. Thus three different modelling approaches were chosen. To preserve this diversity of knowledge and accommodate country-specific implementations, three separate manuals were compiled instead of a single one for the time being. 13

Deliverable 3 Future Sport Monitoring: Findings Result 1: Sport helps support the Europe 2020 strategy. Result 2: 82% find EU wide information on sport relevant or even very relevant (56%). Result 3: Most wanted: –Reliable and comparable data –Easier access to existing information Key policy recommendations on the interplay between sport and economics derived. 14

Recommendation Set A XG STAT Successor The enormous potential of future in-depth statistical and economic analysis warrants continued effort: Establish a follow-up EU Expert Group on Sport Statistics as the successor group to the XG STAT. Five core areas should be tackled: 15

XG STAT Successor Tasks 1.Data issues: refine key definitions (including standards for reporting SSA results to overcome cross-country differences) and indicators, and advance methods. 2.Update existing figures to reveal dynamics. 3.Maintain manuals and envisage merging these. 4.Policy simulation tool: provide a standardised interface for the I/O analysis and the associated satellite accounts to shorten response time. 16

Recommendation Set B National Level Member States: Engage national statistical offices to foster data collection for national SSAs. Member States: To enhance communication on the economic dimension of sport, correspondents should be named for each country, viz. sport organisations, research institutes, non-government organisations, or public authorities. 17

Recommendation Set B EU Level 18 EC: Eurostat should be granted a mandate to provide a harmonised EU-wide core data set of sport-related statistics. EC: Provide support to advance insight and the diffusion thereof, inter alia through the sport chapter of the Erasmus+ programme, e.g.: –support for studies, specialised trainings, workshops; –publish updated leaflets on national SSAs; –support for dissemination of relevant knowledge on how to construct, maintain and use SSAs.

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