An influential group of MPs today condemned the "astonishing" £5 billion hike in the 2012 Olympics bill.

The Public Accounts Committee branded the original estimates "entirely unrealistic" and accused ministers of succumbing to "wishful thinking" over the cost of the Games.

The damning criticism comes in a long-awaited report on financial plans for the 2012 Olympic and Paralympic Games.

Committee chairman Edward Leigh said: "It is now clear that the estimated cost at the time of the bid, just over £4 billion, was entirely unrealistic.

"It ignored foreseeable major factors such as contingency provision, tax obligations, and policing and wider security requirements."

After London was awarded the Games in 2005 the Department for Culture, Media and Sport and the Olympic Delivery Authority launched a review of the costs.

In March last year they finally set out a budget of £9.325 billion, insisting that public sector funding would not exceed that figure.

The MPs questioned why the original estimates had not included the £2.7 billion contingency provision, despite Treasury guidance stating that project budgets should allow for the tendency to underestimate costs.

Some £600 million of funding for policing and security was also left out, as was the £836 million in tax payable on construction and other activities.

The predicted private sector contribution of £738 million towards venues and infrastructure tumbled to £165 million.

Meanwhile, security for the Olympic torch relay through London cost almost £750,000, the Metropolitan Police said.

The participation of the Chinese flame security team was agreed in advance but they had no executive powers, the Met said.

Chaotic scenes were beamed around the world as the torch made its way through the capital.