The departmental minute laid today relates to a guarantee to be provided by the Horserace Betting Levy Board to underwrite an overdraft facility for the Home of Horseracing Trust with Weatherbys bank, up to a maximum of £1.5 million.
Over £15 million has been raised by the Home of Horseracing Trust to support a capital project to create a new National Heritage Centre for Horseracing and Sporting Art in Newmarket. This will provide a showcase for British horseracing and sporting art and is expected to provide an attraction for visitors to the town.
While donations to cover the full costs of the project have been pledged, donations will be received over a period until 2017. An overdraft facility for the Home of Horseracing Trust is therefore necessary, to ensure that any occasional cash-flow shortages can be met as the project development progresses. The Horserace Betting Levy Board has been asked by Home of Horseracing Trust to provide security to Weatherbys bank for this overdraft facility up to a maximum of £1.5 million.
The pledges will all be supported by firm letters of commitment and the Horserace Betting Levy Board considers that the risk of this guarantee being called upon is extremely low.
If, during the period of 14 parliamentary sitting days beginning on the date on which this minute was laid before the House of Commons, a Member signifies an objection by giving notice of a parliamentary question or by otherwise raising the matter in Parliament, final approval to proceed with incurring the liability will be withheld pending an examination of the objection.
I am arranging for the minute to be deposited in the Library of the House.