FIFA World Cup 2026: Host Cities Face Heavy Costs as FIFA Reaps Billions in Profits

When Texas allocated $22 million to host the 2017 Super Bowl between the New England Patriots and the Atlanta Falcons, state officials anticipated a financial return. However, a post-event analysis concluded it was "impossible" to determine if taxpayers broke even. In fact, Texas reportedly lost $14 million based on tax revenue data.

Now, Houston and Dallas are preparing to welcome the FIFA World Cup in June and July 2026, and taxpayers may face similar financial risks. The two cities are among 11 U.S. host locations that have agreed to cover hundreds of millions in costs for the tournament, which is projected to generate $11 billion in profits for FIFA.

Host cities and their local organizing committees are responsible for funding security, retrofitting stadiums for soccer, and operating fan festivals. Initially, they were also expected to cover FIFA officials' transportation, though Houston organizers confirmed this requirement has been waived.

In return, host cities receive minimal financial benefits. They do not earn revenue from ticket sales, concessions, merchandise, or parking. Even corporate sponsorships tied to ticket or suite sales were restricted by FIFA this year. Many of these host city agreements were finalized before the U.S., Mexico, and Canada submitted their 2017 bid to host the World Cup, and most remain confidential.

One-Sided Agreements Leave Cities Questioning Costs

As the event approaches, some cities are reconsidering whether the financial burden outweighs the benefits. "Everybody signed an agreement that was very, very one-sided," said Alan Rothenberg, a member of the Los Angeles 2026 World Cup host committee and former U.S. Soccer president. During the 1994 World Cup in the U.S., host cities received a share of game-day revenues, such as food and drink sales, and U.S. Soccer covered security and organizing expenses. This structure allowed cities to profit from hosting.

In contrast, the 2026 agreements heavily favor FIFA. Chicago withdrew from the bidding process after finding the terms unfavorable. Other cities, including Foxborough, Massachusetts, have raised concerns as the tournament nears. In February, Foxborough officials threatened to withhold permits for matches unless FIFA or the New England Patriots' owner committed to covering $7.8 million in security costs upfront. The permits were eventually approved after local organizers agreed to pay the bill in advance.

Financial Risks for Host Cities

With little revenue to offset expenses, host cities face significant financial risks. Security, stadium upgrades, and operational costs are substantial, and the lack of revenue-sharing leaves taxpayers vulnerable to losses. The secrecy surrounding host city contracts further complicates transparency and accountability.

"At this point, I think a lot of people are looking at ..."