Circuit of Wales plans at Ebbw Vale move a step closer

A hotel and motor industries centre are part of the development

Plans for a £325m motor racing track in Blaenau Gwent have moved a step forward.

The Welsh government said it was "minded to grant" an application to allow the firm behind the plans to take over common land for the Circuit of Wales in Ebbw Vale.

It said outstanding issues with the rights of commoners must be resolved before a formal decision was made.

The Heads of the Valleys Development Company (HOTVDC) welcomed the move.

The development comes after a public inquiry in March examined the firm's request to take over 250 hectares (600 acres) of common land.

The HOTVDC said the latest announcement from Rebecca Evans, the deputy minister for farming and food, meant it could now exercise agreements already in place with commoners, which includes providing replacement land.

Its chief executive Michael Carrick said: "This is an important step in the process to de-register the common land and we will continue to work towards a successful conclusion in 2015."

The development planned for Rassau aims to create 6,000 jobs and is set to host the MotoGP from 2017.

HOTVDC has said it has Asian financial backers for the project, which has a £200m private finance target to get it off the ground.

The rest of the money is expected to come from Welsh government support and local authorities.

Blaenau Gwent council has previously called the racetrack a world class development which could "truly transform Blaenau Gwent and the local economy".