Today : Sep 06, 2025
Sports
02 September 2025

World Cup Host Cities Face Funding Crunch Ahead Of 2026 Tournament

US cities voice concern over rising World Cup costs as international tourism lags and government funding falls short, casting uncertainty on event preparations.

As the countdown to the 2026 FIFA World Cup ticks on, the United States finds itself at the crossroads of anticipation and anxiety. With less than a year to go before the world’s most celebrated football tournament lands on North American soil, a storm of financial and logistical concerns threatens to overshadow what should be a historic sporting spectacle. For the first time ever, 48 national teams will compete in a World Cup, and the US, alongside Canada and Mexico, is set to play host from June 15 to July 13, 2026. But behind the scenes, city officials and event organizers are grappling with a host of challenges that could shape the event’s legacy for years to come.

On September 1, 2025, reports surfaced that US host cities are struggling to secure the funds needed for the immense logistical and security demands of the tournament. According to local authorities cited by Sputnik/RIA Novosti, there is mounting concern about how to cover millions of dollars in expenses—costs that go far beyond what’s been earmarked by the federal government. While Congress has approved a significant $625 million for security, local committees are left searching for as much as $150 million per city to cover everything from transportation infrastructure to crowd management and hospitality services. And, if that wasn’t enough, FIFA’s strict regulations have tied the hands of local organizers, severely limiting their ability to raise additional funds independently.

“At least two local committees organizing the championship have privately complained to FIFA about the lack of support,” reported Politico, as quoted by Sputnik/RIA Novosti. The frustration is palpable among city officials, who feel caught between the expectations of hosting a world-class event and the reality of balancing city budgets already stretched thin by other priorities.

And it’s not just the World Cup that’s putting the US in the global spotlight. The nation is also set to host the Ryder Cup this month, celebrate the 250th anniversary of the Declaration of Independence in 2026, and welcome the Olympic and Paralympic Games in 2028. In theory, this historic slate of events should translate into a tourism boom and a windfall for local economies. Yet, the numbers tell a different story.

New data from the US National Travel and Tourism Office reveals that the top 20 overseas international markets grew by a meager 0.3 percent to 11.56 million visitors in the first half of 2025. The United Kingdom remains the largest source market, with arrivals up 2.1 percent to 1.85 million, while India, in second place, saw a 1.8 percent decrease to 1.1 million visitors. Visitor numbers from Brazil and Japan rose by 5.7 percent and 3.9 percent respectively, but Germany, France, and the Netherlands all registered notable drops—down 9.1 percent, 8 percent, and 4.9 percent, respectively.

Even more concerning are the steep declines from South Korea (down 11.2 percent) and Ecuador (down 16.2 percent). These figures come despite increased airline capacity from Europe, with seats from Germany, France, and the Netherlands to the US up by 2.2 percent, 3.3 percent, and 2.8 percent for summer 2025, according to OAG aviation analysts. The optimism from airlines hasn’t translated into a surge in visitors, highlighting the disconnect between industry expectations and traveler sentiment.

Tourism Economics predicts that international arrivals to the US will end 2025 down by 8.2 percent, a sobering projection driven in large part by a staggering 23.7 percent drop in Canadian visitors during the first half of the year. Canadian land crossings have plummeted by 28 percent, more than double the 13.3 percent decline in air travel from Canada. Cities heavily reliant on Canadian tourism, such as Seattle, Portland, and Detroit, are forecast to see international overnight visitor declines of 26.9 percent, 18.3 percent, and 17.3 percent, respectively. In some destinations, Canadian travel accounts for over 90 percent of the projected international visitation loss—a blow that is hard to ignore.

The reasons behind these trends are complex. The return of President Donald Trump to the White House in January ushered in a new era of geopolitical uncertainty and policy changes that, according to many in the travel industry, have made the US a less attractive destination. In July, the government nearly doubled the cost of the Electronic System for Travel Authorization (ESTA) for visitors in the visa waiver program, raising the fee from $21 to $40. At the same time, Brand USA, the nation’s destination marketing organization, saw its annual budget slashed from $100 million to just $20 million.

Geoff Freeman, President and CEO of the US Travel Association, didn’t mince words: “Failing to fully fund Brand USA is a missed opportunity—especially as the administration seeks to maximize a historic slate of global events on American soil. Raising fees on lawful international visitors amounts to a self-imposed tariff on one of our nation’s largest exports: international travel spending. These fees are not reinvested in improving the travel experience and do nothing but discourage visitation at a time when foreign travellers are already concerned about the welcome experience and high prices.”

Speaking of prices, the US has long been known for offering good value to travelers, but that reputation is taking a hit. According to NerdWallet’s Travel Price Index, US travel costs have fallen by 1 percent year-on-year as of July 2025, but that small dip masks a much larger trend: prices are still 9 percent higher than in July 2019. Restaurant prices have surged by 50 percent over the past decade, while car rental costs are up 30.2 percent. Hotel room rates have climbed 12.3 percent, and while airfares have dropped 16.6 percent, that reduction is largely due to airlines unbundling ticket prices—meaning the final bill, with baggage and seat selection, often ends up much higher than the advertised fare.

Meanwhile, the federal government is investing heavily in infrastructure and border security ahead of the World Cup and other marquee events. In addition to the $625 million for World Cup security, $12.5 billion has been pledged to modernize the National Airspace System, $4.1 billion will go toward training 5,000 new Customs and Border Protection officers, and $673 million will help expand the biometric entry-exit system at ports of entry. An additional $1 billion is earmarked for security and planning tied to the 2028 Olympic and Paralympic Games.

Still, the question remains: Will these investments and preparations be enough to overcome the mounting challenges and deliver the tourism boom that so many had hoped for? With local organizers voicing their concerns and international visitor numbers lagging, the road to the 2026 FIFA World Cup is proving to be anything but smooth. As the world’s eyes turn to North America next summer, the true test will be whether the US and its neighbors can rise to the occasion, both on and off the pitch.

For now, the planning continues, the debates rage on, and the anticipation builds. The 2026 FIFA World Cup promises to be a tournament like no other—but whether it will be remembered for its football or its financial headaches remains to be seen.