East End to strike gold

Leaders of London's Olympic bid have pledged that the capital's residents will share the benefits of hosting the 2012 Games.

They have signed up to an "ethical contract", promising a "living wage" for workers, affordable new homes, skills training and better health care for communities around the proposed Olympic village in Stratford.

Mayor Ken Livingstone and bid chairman Lord Coe hope the commitment will boost London's chances as its battle to host the 2012 Games enters the final lap.

Each of the five competing cities - the others are front-runner Paris, Madrid, New York and Moscow - will on Monday submit final details of how they would mount the Olympics.

The International Olympic Committee will meet to select a winner next July in Singapore.

The agreement to share the benefits of hosting the Games with Londoners was signed after months of lobbying by pressure group London Citizens.

The group is made up of residents, churches and schools in east London. Up to 11,000 jobs would be created by hosting the Olympics, and the deal involves ensuring contractors draw as much of their workforce as possible from the local community.

They would be paid a "living wage" - likely to be around ?6.60 an hour.

Half of the 9,000 homes to be built in the Olympic Park would be designated for low-paid workers, such as teachers and NHS staff.

The contract also states that the new sports facilities - such as the stadium and aquatics centre - will be managed by a local partnership after the Games has ended, to prevent the creation of "white elephants".

Bid leaders have also pledged to consider launching a pilot project to build new homes for locals on land handed to a community trust.

Mr Livingstone said: "The agreement we have reached with London Citizens is about the way we will make sure this is an environmentally sustainable Olympic Games, and an Olympics that values the people who will work to produce it. It ensures that people living in east London will have access to the jobs."

Lord Coe said the bid was now " eminently more winnable" for London as a result of its commitment to community benefits.

He said the deal sent a clear signal to the International Olympic Committee that the whole city was backing the Games.

Lord Coe added: "Every successful Olympic bid that has become a successful Olympic Games has relied very heavily on strong local partnerships.

"I am delighted we have had these discussions. It makes our bid stronger. It makes our presentation in Singapore stronger. It shows a greater level of support than we would have had." Gregory Nichols, of London Citizens, said: "I support the idea of an ethical Olympics because I think it is the right thing to do, and because it will mean that the London bid will stand out from the others and make it more likely that London will win." Father Michael Copps, of St Francis's Roman Catholic Church in Stratford-said he was delighted with the new commitment to use the Olympics as a way of tackling social deprivation in boroughs such as Newham.

"It has traditionally been a poorer area," he said. "Things are changing rapidly because of the better transport connections we have in Stratford. Our concern is what would happen if the richer people came in and the poorer people would have to move out.

"That would not be of any benefit to the local people. We feel the Olympics could give us momentum and the possibility of resources coming in to the area."