Prime Minister Jacinda Ardern says talk of the America's Cup going overseas is doing a disservice to Team New Zealand.
Reports at the weekend suggested Russia and the UAE are waving big money Team NZ's way. NZME suggests the UAE is offering as much as $80 million for the rights to host the next America's Cup regatta.
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The syndicate is currently in talks with the Government over how much taxpayers would be stumping up for the 2021 tournament.
"Everyone's at the negotiating table. That's where we should be, and I'm hoping we will see a fantastic outcome that serves everyone's needs," Ms Ardern told The AM Show on Monday morning.
She says "of course" the regatta should be held in Auckland, but just how much the Government puts in would depend on three things - economic benefits, environmental impact and lasting value.
"We know there's economic benefits... there are potential environmental outcomes, so making sure we mitigate that. Building far out into the harbour just wasn't something I think that was going to [work]... Actually making sure whatever is built after the cup has some use for the city, has some use for the country."
The Government spent $36 million on the 2013 challenge in San Francisco. The decision was made by previous Sports Minister Trevor Mallard before Labour was voted out of office, and the National-led Government said it was legally obliged to honour it.
Mr Mallard said in 2011 the 2007 regatta in Valencia, Spain was worth about $75 million to the New Zealand economy, and the San Francisco event would generate more than $150 million.
Ms Ardern declined to say how much the current Labour-led Government was prepared to spend - not while negotiations were still underway.
But she doesn't think Team NZ will take their defence overseas.
"I think everyone is really hopeful, and I think it actually does a bit of disservice to Team NZ to imply that that's on the cards."
The previous National Government gave Team NZ $5 million in July, but didn't make them promise they'd hold the next America's Cup tournament in New Zealand.
"We didn't make the $5 million conditional on the next America's Cup Regatta being held in New Zealand because Team New Zealand needed flexibility, but our clear expectation was that it would be held here," said then-Economic Development Minister Simon Bridges.