Institutional Challenges Facing Sport in 2026
The global sports industry is expanding rapidly, but in 2026, its institutional foundations are under strain. Growth has outpaced governance, infrastructure, and risk frameworks designed for a slower, more predictable era.
One of the central challenges is climate exposure. Extreme heat, flooding, and weather disruptions are increasingly affecting event scheduling, venue viability, and insurance costs. The World Economic Forum has identified climate risk as a systemic threat to large-scale infrastructure and live events, including sport
At the same time, participation trends present a quieter but significant risk. The World Health Organisation reports that physical inactivity is rising globally, particularly among younger demographics. Over time, this erodes the pipeline of athletes, fans, and consumers on which sport depends.
Governance structures are also under pressure. Many sports organisations operate across multiple jurisdictions but rely on legacy models that struggle with regulatory complexity, digital rights management and cross-border compliance. According to the OECD, fragmented governance increases institutional vulnerability in rapidly globalising sectors
Commercial complexity compounds the issue. Media rights fragmentation, private capital involvement and multi-use venues demand financial sophistication that many institutions are still building. Boards are increasingly required to oversee technology investment, cyber resilience and long-term capital planning alongside traditional sporting priorities.
In fast-growing regions such as the Middle East, these institutional challenges are exacerbated by rapid growth. Rapid expansion increases exposure to governance gaps if organisational capability does not scale in parallel.
In 2026, the challenge for sport is not ambition. It is institutional readiness. Organisations that modernise governance, invest in specialist talent and embed risk into strategic planning will be better positioned to sustain growth.