OUTSTANDING council loans made to the financially-troubled Durham County Cricket Club are scheduled to be discussed by senior councillors next week.

Members of Durham County Council’s ruling cabinet are expected to debate a rescue package, including a request to restructure multi-million pound loans made to support the club.

Last week, the English Cricket Board (ECB) imposed severe sporting sanctions on Durham as part of a £3.8 million bail-out of the debt-ridden club which left the county council as the club’s largest remaining creditor.

The sport’s governing body has since written to Durham County Council and the North East Local Economic Partnership requesting that they “support a wider solution to the club’s historic debt and revenue issues”.

In a statement, the ECB said “We have proposed measures to restructure the club’s debt, offering a return to prospective future investors and ensuring creditors have the best opportunity to get their money back”.

Twice in the past, Durham County Council has authorised loans to the cricket club totalling £4.3 million.

A report due to go before the authority’s Cabinet on October 19 confirms that, since 2009, the cricket club has met its £680,000 interest payments on the loans, but the current outstanding balance stands at £3.785 million.

The report states that: “The council has received a request from the ECB to consider an arrangement in relation to the monies owed by Durham County Cricket Club to the Council.

“This request has occurred in the wake of the club’s financial difficulties, which has resulted in sporting sanctions being imposed by the ECB”.

The detail of the proposed rescue package has not yet been released because it is “subject to ongoing dialogue and discussion with the ECB,” which is due to meet on October 18.

Earlier this week, Ian Thompson, the council’s director for regeneration and local services, confirmed that the ECB were asking the council to “consider being part of an ‘all creditors solution’ that they believe would, over time, deliver the best opportunity to retain first class and international cricket in the county while offering creditors the strongest chance of getting their investment back.

“While we know the club is experiencing financial difficulties it’s important to say it has delivered huge financial benefits to the county and wider region and is a key aspect of our sporting and cultural offer.

“We will now take some time to consider the request from ECB before taking any further steps”.