RACING fans and civic leaders were celebrating this week after it was announced that Royal Ascot is coming to the region.

The news that York racecourse would be used to host the 2005 event during a £180m development to the Ascot track in Berkshire was confirmed by Ascot chief executive Douglas Erskine-Crum.

York had been odds-on favourite to be awarded the meeting and has beaten off competition from Cheltenham, Newbury and Newmarket to stage the five-day spectacular.

Hotels and inns are expecting record numbers of bookings in June 2005 as thousands of racing fans move in.

Emma Blakemore, duty manager of the city's Marriott Hotel, said: "This is superb news for York - the fixture should really draw in the crowds and do a lot for the city's status.

"There is no doubt that the hotels will all be packed and I'd advise people to make reservations sooner rather than later to avoid disappointment."

Mr Erskine-Crum said that York came out as the preferred temporary home for Royal Ascot because of its proven ability to stage major Flat racing festivals, the world-class standard of its track and ground and its facilities for racegoers.

It is anticipated that the York track, which is horseshoe-shaped, will be extended in an arc from beyond the winning post to join up with the back straight and complete a round course.

Officials at York and Ascot will liaise over the construction, although Mr Erskine-Crum confirmed that they will finance everything for the meeting, including the prize money.

William Derby, chief executive at York, said he was "delighted and honoured" by the decision.