Rally GB rescue after funding cut

Swedish Rally driver, Per-Gunnar Andersson of the Suzuki team

The rally has several stages across south and mid Wales

The 2009 Wales Rally GB has been secured after the Motor Sports Association agreed to underwrite the costs of the event.

In April, its future had been thrown into uncertainty when the assembly government withdrew funding of £2.2m.

The MSA, UK motor sport's governing body, said they had taken the decision "for the good of the sport".

Event organiser International Motor Sports, MSA's commercial arm, is taking legal action against the government.

Alan Gow, chairman of both MSA and IMS, said: "In recent years, the MSA has exercised prudent management of its finances to create a surplus in order to protect the sport against unforeseen circumstances," said Alan Gow, chairman of both MSA and IMS.

"Consequently, we have decided to underwrite this important and prestigious international event for the good of the sport, while continuing to pursue our extremely robust case against the Welsh Assembly Government for its breach of contract.

"IMS and everyone involved in Rally GB now have a very challenging period ahead to turn the event around in just four months.

"However, we are confident that the experience and professionalism of our people and clubs will make sure that this year's event is a great success."

The assembly government had an agreement to provide the rally with £2.2m for three years from 2008-9, but in April withdrew the funding after saying the rally had been downgraded to non-world championship status.

It said that was not the type of event it had agreed to sponsor.

Welsh Secretary Peter Hain, a keen motor sport fan, said at the time he was "horrified" and said the funding had a multiplier effect which was worth five times more in spending on the local economy, and added he would be writing to Rhodri Morgan.