Talks
are under way to save this year's Wales Rally GB.
It
is understood that the Welsh Assembly Government has withdrawn funding for the
final round of this year's World Rally Championship due to be held in late
October.
Previously
the Assembly Government had contracturally agreed to back the event until 2011
and WRGB organisers were a week away from the press launch of this year's event
and have now been told that the funding has been stopped.
Unofficially
the organisers have been told the event has become a casualty of budget cuts as
the WAG tries to balance its books and faces the prospect of supporting the
Ryder Cup golf tournament at Celtic Manor in October 2010.
WRGB
was to be dropped from the WRC calendar next year by the FIA as part of the
governing body's plans to rotate the championship around 22 countries, and this
is also believed to have played a part in the WAG decision not to back this
year's final round in Wales.
Despite recent moves to safeguard the
rally's future, the WAG still wants an early exit from the five-year deal it
signed in 2007, after supporting the event since 2002.
Rally GB chief executive Andrew Coe said,
"Naturally, we are shocked and disappointed that the Welsh Assembly Government
has taken this position, without any prior notice or discussion, and
particularly as there is a firm and binding contract in place until 2011."
Coe added, "The event has met - and in many
cases - exceeded the key performance indicators laid down by WAG under the
terms of the existing contract and we were looking forward to continuing our
extremely positive relationship with the team at WAG.
"In fact, the deputy first minister Ieuan
Wyn Jones noted the importance of the Rally GB in 2007, when he said, ‘The
event ensures a high profile for our country and helps drive forward the
continued growth of our automotive sector.'
"Our preparations for this year's event are
progressing well, the event is scheduled to be launched by the end of the
month."
There
has been no official statement from WAG but a spokesman said "discussions are
on-going".
Unless
some form of reduced support is forthcoming from WAG and agreed by WRGB
organisers, it is expected the issue will be decided in the courts, but it is
not certain at this time that the rally will be held in October.
In
a brief statement, a spokesman for the WAG said, "It would be inappropriate for
the Welsh Assembly Government to comment at this time."