While accepting that the document exists, civil servants rejected a Freedom of Information bid by the AJ to make the findings public.
Government mandarins, while accepting that it would be in the public interest to reveal the financial figures, claimed that releasing the document and its findings could jeopardise the work currently being carried out on the Olympic project.
'I confirm that the department does hold some information that has been prepared by KPMG on the provision of public and private money for housing and infrastructure,' a letter from the DCMS press office to the AJ said.
'We acknowledge that there is a public interest in disclosure of information relating to the advisory and deliberate processes of central government.
'The 2012 Olympics and Paralympic Games are a matter of public importance and we acknowledge that there is a strong interest in information being disclosed.
'However, against these interests we must balance the likely prejudice to the effective conduct of public affairs that would arise from the release of information prepared by KPMG on the provision of public and private money for housing and infrastructure.
'The KPMG cost-validation work is an ongoing project and disclosure of information at this stage could skew that market position that the work seeks to analyse, thereby undermining the value of the exercise,' the letter adds.