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Mallory Park Motorsport Ltd To Be Put Into Administration

After a classic case of “two sides to every story” revolving around the imposition of, and lack of compliance with noise restrictions at Mallory Park the following press release has just arrived

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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.