THE appointment of a private merchant bank as advisers to the Circuit of Wales development has been called "another important step towards delivering" the project.

Kleinwort Benson, which is one of the UK’s leading private banks, will be responsible for advising Circuit of Wales on the current financial structuring, capital placement and future financial strategy of the company. The development includes a 3.5-mile racetrack just north of the Rassau Industrial Estate in Ebbw Vale, which is expected to create 6,000 new jobs.

In July the scheme was rejected by the Welsh Government for a second time after they were asked to underwrite around 75 per cent of the project.

The £425m Circuit of Wales regeneration project aims to be a hub for technology, innovation, culture and education and developers say it will attract automotive and component manufacturers, sporting events, leisure and cultural activities and provide regeneration, training and job creation for local communities.

Martin Whitaker, CEO of the Circuit of Wales, said: “As we make progress towards turning the opportunity of the Circuit of Wales into reality, which will include hosting Britain’s round of the MotoGP World Championship, I am pleased that another significant financial institution has backed the project.

"This adds further confidence to the development of a facility that underpins the Welsh Government’s objective to demonstrate that Wales is ‘open for business’.

"We want to welcome Nigel Spray and his team at Kleinwort Benson. We look forward to benefiting from their experience of major infrastructure project delivery and financial expertise.

"This appointment is another important step towards delivering this exciting regeneration project.”

Nigel Spray, head of PMB at Kleinwort Benson, said: “We are delighted to be partnering with CofW to bring to fruition such an important recreational infrastructure project for the UK as a whole.

"The Circuit of Wales has the potential to be a huge force for good in Wales and in the auto tech / leisure industry.

"It will have significant social impact, create thousands of jobs, deliver annual urban regeneration benefits of £50 million and drive some 750,000 incremental visitors to the Valleys. Additionally, the site will attract significant inward investment and will play its part in maintaining the UK’s world leading position in this industry.”

Circuit of Wales officials have not yet submitted a new formal proposal to the Welsh Government.