The Commonwealth Games Federation was assured by the “highest level” of the Victorian government as recently as June that the 2026 Games budget was in hand.

But a month later on Tuesday, Premier Daniel Andrews pulled the plug on hosting the sporting event in regional Victoria, citing a cost blowout to up to $7 billion from an initial $2.6 billion last year.

Asked if the federation was aware of the blowout, one of its three vice presidents, New Zealander Kereyn Smith, said the board had “no awareness” of that figure.

“It was getting up toward the $3 billion conversation,” she told ABC 7.30 on Wednesday, citing conversations at a board meeting held last month.

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“There was awareness from the CGF board that we were awaiting budget announcements.

“But there had been assurances at the highest level … to the Commonwealth Games Federation that the budget was in hand.”

Ms Smith said there was even talk about potential cost reductions, which in her view could have been achieved.

“So certainly, you know, nothing in the figure of $6 billion or $7 billion,” she said.

It was disappointing there was no conversation or dialogue with the Victorian government about its concerns, she said.

“And (in) our view, there were many ways you could have reduced the costs of the Games if that was the major driver,” Ms Smith said.

The fate of the 2026 Games is now in limbo as organisers scramble to try to find a home for the event after the leaders of every other Australian state and territory ruled out stepping in for Victoria.

Scotland is weighing up whether to host the Games, with First Minister Humza Yousaf saying he would investigate what might be possible.

“I have noted the comments from others that Scotland could look to be part of something bigger, part of a multi-city, multi-country host,” Mr Yousaf told Scotland’s STV News.

“I’ve asked my team to explore whether that’s a possibility or not, but it may be difficult. But let’s see what the art of the possible is.”

Ms Smith’s remarks back the view of Games organisers who have disputed Mr Andrews’ numbers and claim the Labor government ignored options such as moving the event to Melbourne.

Mr Andrews earlier on Wednesday said taking the Melbourne option would have cost a still-too-high $4 billion.

Ms Smith warned Victoria was up for a “significant” bill for the cancellation.

“This is a significant undertaking and when you sign up to a Games, be it Olympic or Commonwealth, there are guarantees,” she said.

“They’re a commitment and they are contractual obligations.”

Ms Smith said Mr Andrews did not seem to understand the significance of what his government had done.

“There’s respect and there’s integrity around the process … it feels to me like those things have been compromised,” she said.

Scotland has hosted the Commonwealth Games on three occasions – twice in Edinburgh, in 1970 and 1986, and most recently in Glasgow in 2014.

Victorian Liberal senator Jane Hume said the state government had mishandled the situation.

“This is because Victoria is broke,” she told Seven’s Sunrise.

“We are a failed state and it’s because of the incompetence of this government.”

Victoria was the only bidder for the 2026 Games, with five regional cities originally slated to host sporting events.

The state government had promised to pump $2 billion into the regions in housing, infrastructure and tourism spending.

It’s the second time a Games host has dropped out in recent years after the South African city of Durban lost the 2022 event and Birmingham had to step in and take over.

The last time a Commonwealth Games was completely cancelled was during World War II.

-AAP with PA