There was jubilation throughout the United Kingdom when it was announced that London had won its bid to host the 2012 Olympics. But then the bombs came and the celebrations for the Olympic victory was cancelled. Nevertheless, London has begun the Herculean task of redeveloping a huge area in the east end of London that will be transformed into an Olympic village.

There will be nine new venues, including a stadium that can accommodate 80,000 spectators, but some of the more traditional venues will also get a look in - and no doubt a face-lift - such as Wembley, Wimbledon, and Lord's.

There will be an extension to the underground and a redevelopment of the Stratford area, which has long suffered with the reputation as one of the poorest areas of the capital.

The real task now is not only to develop venues that will be of some use to the locals once the athletes have gone, but also to find sponsorship. Much of the finance for the Olympic venture has still to be found if British taxpayers are to avoid footing the bill themselves of massive government spending, as the Greeks had to in the previous Olympics.

Despite the hurdles and difficulties ahead there is still great optimism, with the promise of thousands of new jobs and businesses in east London and far beyond.