Poots says the diversion of the funding is causing him problems
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Sports Minister Edwin Poots has said that £42m of funding earmarked for Northern Ireland sport, culture and the arts is being diverted to London 2012.
The Minister made the revelation in BBC Northern Ireland's Season Ticket programme on Thursday evening.
"The government has taken on a commitment of doing the Olympics in 2012," Mr Poots told the BBC.
"They have identified funding streams to do that. When the funding streams get low, the lottery was an easy hit."
The Minister acknowledged that the diversion of funds to the 2012 Olympics "does give me problems".
He added that he is attempting to find other cash to help fund sports groups who had originally been awarded lottery funds which were then subsequently withdrawn.
Season Ticket also learned that £53m promised for the development of elite sports facilities here back in 2006 by then direct rule minister David Hanson has been cut to £35m.
So far, only the Olympic pool, planned for Bangor, has been given the go-ahead.
Even if the Maze Stadium is built, it will be too late for London 2012
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It's costing around £15m which leaves £20m for the other eight or nine elite facilities still waiting for a green light.
As of today, not a sod has been turned at the pool site in Bangor - and it's due to open in 2010.
Season Ticket also established that the other bids have become mired in a bureaucratic application processes.
The BBC Northern Ireland programme also learned that there is virtually no chance that any 2012 Olympic events will be staged in Northern Ireland.
London 2012 chief Sebastian Coe said last November that the door was "still open" for Northern Ireland to stage Olympic football matches, provided a stadium could be built in time.
However, Season Ticket understands that even if agreement was reached on the Maze project tomorrow, the venue still wouldn't be ready in time.
London 2012 is being touted as providing major business opportunities for Northern Ireland with in the region of 75,000 contracts connected with the games.
But on the list of official suppliers so far, there's only one Northern Ireland name - although lots more contracts remain to be awarded.
The official cost projection of London 2012 is £9.32billion.
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