The island extends to more than 3,000 acres

The community is now bidding to become its own landlord.

Community representatives will meet Highlands and Islands Enterprise next week to discuss the buy-out.

The Argyll and Bute MSP George Lyon has already called on the Scottish Executive to provide funds to help the islanders raise the �3.8m asking price.

The Lib Dem MSP said the island's situation illustrated a classic example of a community being bought and sold without their consent.

Mr Holt has said he would consider a bid from local residents.

Absentee landlord

But the selling agents, FPD Savills, have reported that the island is already generating interest - with at least one prospective buyer understood to be an American.

The Liberal Democrat MP for Argyll and Bute, Alan Reid, said the Scottish Executive should take action to ensure the island does not fall into the hands of an absentee landlord.

He said it should provide money to help finance a purchase or take action through land reform.

The 3,400-acre island contains 37 cottages, a shop and a pub, as well as a nine-hole golf course and private airstrip.

I believe the community wants to buy the island and I want to help them do that.

Argyll and Bute MSP George Lyon

Mr Lyon said: "This is a classic example where an island community has been bought and sold over the past 30 years and never has anyone given them the chance to purchase the island and take control of their own destiny.

"I believe the community wants to buy the island and I want to help them do that.

"The thought of communities being bought and sold as some millionaire's play thing is abhorrent."