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Mallory Park Goes Into Administration


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Sad news for all followers of British Motorsport

 

Emrhys Barrell

 

 

Mallory Park Motorsport Limited To Be Put Into Administration

30 Sep 13

It is with great regret that Mallory Park Motorsport Limited has today announced that the company has been put into Administration.
 
Mallory Park has been operating as a motorcycle and car race circuit for many years and has much history attaching to the circuit. In 1985 a highly restrictive Noise Notice was attached to Mallory Park Motorsport Limited ('MPML') embracing all circuit activities but, significantly, a number of the provisions within the Notice were very much open to interpretation.


 


MPML has enjoyed a long and fruitful relationship with Hinckley & Bosworth Borough Council over the years and a level of understanding had been established to work within the 1985 Notice. Regrettably, however, this arrangement was placed under scrutiny by local residents some of whom were new to the village, who made representations to HBBC to apply the rigid interpretation of the 1985 Notice.
 
MPML and the local authority worked extremely hard with the residents to find a compromise solution but, unfortunately, the council decided to prosecute MPML on five charges of the Notice during 2012 which involved operating on a Saturday over and above the four days agreed in the Notice. The court hearing took place in August 2013 and ruled that MPML was guilty of this breach on the five occasions, but MPML was given the right to take the establishment rights of the 1985 Notice to a higher court.
 


 

The immediate implication of the Court decision was to oblige MPML to observe the provision of the 1985 Notice, which allows only for 40 days racing on Sundays per annum (but with a dispensation to allow four Saturdays per annum) and testing on Wednesdays. MPML was accordingly obliged to cancel all track day operations, resulting in a significant loss of income (a situation also felt by local businesses and local employers) and use of the track for local community activities - young driver training etc. Overall, the imposition of such restrictions has inevitably led to MPML having a financially unstable business plan. 
 


 

Following the Court case, MPML immediately implemented the highly restrictive conditions of the 1985 Notice, thus effectively reducing the circuit activity to two days per week. Significant losses were being incurred which no business can sustain. It was clear that a more dynamic approach needed to be taken to overcome the significant hurdles and two weeks ago MPML developed an innovative three stage Recovery Plan to take Mallory forwards which would hopefully meets the wishes of the residents and form the basis of a viable business.
 


 

Very constructive dialogue was held with the Leader of HBBC and senior officials and we were receiving very encouraging reactions from them to the Plan. A fundamental component of the Plan was the agreement of the Land Owner to reduce the annual lease rental, which had risen by over 40% over the last eight years and had reached untenable levels. Very regrettably, despite intense work by the MPML board, the Land Owner - Titan Properties Ltd - refused to make a substantive offer to allow the Recovery Plan to proceed.
 
British Automobile Racing Club were keen to support MPML (and did so up to the final race meeting yesterday by paying for certain essential supplies allowing the meeting to place) and indeed would have supported MPML to ensure all its trade creditors were paid. To that end, it needed the support of the Landlord with a sustainable rent but, regrettably, this was not possible to achieve.


 


Accordingly, having no firm visibility into 2014 and beyond, MPML directors had no option but to place the company into Administration.
 
The administrator, Ian Robert of Kingston Smith & Partners LLP, commented: "I will be working with all the stakeholders to ensure that Mallory Park will see racing again. I hope the administration process can assist in finding a solution which will be beneficial to all parties concerned."
 
He continued: "To that end, I will be negotiating with the landlord and the council, with the support of the BARC, to ensure that racing can be enjoyed at Mallory Park for years to come. Although it is early days, I am hopeful that, once a solution to the lease is found, all of the company's creditors should receive a substantial dividend, which I understand is very much the driving force behind the continued support of the BARC."

- Ends -


Media Contact:

Annie Knightly

Senior PR Executive

For and on behalf of Kingston Smith LLP

T: 020 7566 3574

M: 07887 685463

E: aknightly@kingstonsmith.co.uk

 

 

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"Regrettably, however, this arrangement was placed under scrutiny by local residents some of whom were new to the village, "

 

Its a good site for an industrial estate or a 24/7 distribution centre- see how that cheers up the villagers. The administrators will know how to play that one to the full. The land owner may do the job for them - seems to have been greedy - may want shot of racing for a more lucrative venture.

 

On a more positive note, a new circuit in south Wales:

http://www.bbc.co.uk/news/uk-wales-24339417

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Shades of Thruxton, built in the middle of nowhere - then they built lots of housing around it who's residents whined ad nauseum about the noise.

 

Bit like the thickies who move to Crawley because of all the work thanks to the airport, then moan about the noise from planes. :angry:

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Bit like the thickies who move to Crawley because of all the work thanks to the airport, then moan about the noise from planes

 

Overhead American passengers talking as their plane flies into Heathrow, landing on 09L .. "Windsor Castle looks so nice, but why did they build it right under the flight path?" :D

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Got to help keep Mallory going - I loved taking the V8 round a few years back. Great spectator circuit too !

 

KEEP ADDING TO THE PETITION, and pass on link to other car clubs & motor sport enthusiasts you know !

 

http://epetitions.direct.gov.uk/petitions/46739

 

NOW STANDS AT 35000 and will be considered for debate by the Backbench Business Committee should it pass the 100 000 signature threshold.

 

Diane

PS added on ther thread as well !

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I followed this for some time on another motorsport forum, yes the petition has been going for a long time. Ultimately, even if it reached the required number, Central Gov will just say its a local matter.

 

Sadly I fear that it may have been the noisy activity associated with the motocross up on the hill that broke the proverbial's back.

 

Not my favourite circuit to get to or race at (round and round and round - but with barriers very close in parts) but still fond memories and a case that heritage will be lost.

 

Why is it we can designate conservation areas and village greens, list buildings and parks as heritage assets, but valuable UK motorsport heritage is being slowly killed off by the noise and control of pollution act!

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Just to wander off the point (and maybe flash up Badgrog) there is a lovely little circuit at Soissons near Reims which is shaped similarly to Mallory. Great fun, very French. Until the Gendarmerie turned up. Same thing, noise. If the French can't hack it there's no hope for Mallory. JJC

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I would wager that the kind of pondlife that buys "blighted" property near racetracks & similar venues (with the attendant rates reductions & other perks), then seeks to destroy these venues purely for self-interest, is the selfsame scum that fires up Stihl saws, 2-stroke strimmers, & shredders at 8a.m on a Sunday in the name of "home improvement".

God help you if you dared clobber a wire wheel spinner or even considered plugging in an angle grinder to improve your much-loved TR at ANY time in these neighbourhoods.

Yes, I live in a "village" like this; what an appalling nation of killjoys we have become.

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The site owner will want to maximise his gain and sell the land for residential development.

 

Rgds Ian

If they get planning for homes the it is GONE :angry::angry: Brands Hatch was only saved from this by an enthusiastic [rich ] racer. :)

ROY

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Neil

There is a much younger Kris Meek rallying.

The Mallory Chris Meek drove all sorts of circuit race cars but was most succesful in Sportscars in the 60s/70s. In particular a Lotus Europa. I also think he drove for Ginetta as a Works driver.

 

With this history it makes his Company attitude towards the circuits future seem all the more strange.

Dave McD

Edited by Dave McDonald
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Chris Meek drove a wide variety of sports cars from the late 50s into the 70s, from little road sports Lotus, Elva, Ginetta and Fairthorpe through to sports racing Chevron B8 with Chris Craft, and latterly the odd single seater forays too - F Atlantic if I recall correctly.

 

Cheers

 

Alec

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