Work is set to begin on a £280m motor racing circuit in Blaenau Gwent, Wales, after the group behind the plans - Heads of the Valleys Development Company (HVDC) - signed a legal agreement with the local council.

HVDC reached an agreement on the Section 106 aspect of the circuit’s planning application with Blaenau Gwent County Borough Council (BGBC) and expects to begin pre-enabling works before the end of the year. Full construction will start in early 2014 with completion due in 2015-16.

To be built as a low carbon automotive centre of excellence, Circuit of Wales represents the UK’s largest ever privately-led capital investment programme in motor sport related infrastructure.

The first phase of the multipurpose development will be the construction of an international specification motor racing circuit, including a hotel and commercial and retail complexes.

It is designed to host international motor sport events and will be a centre for motor sport-related industries. It will include a 3.5-mile track that takes advantage of the unique topography of Ebbw Vale, a Motocross track, an international karting track and off-road driving facilities.

It is estimated that some 750,000 people will visit the completed facility each year, generating £50m per annum for the Welsh economy. An anticipated 3,000 new jobs will be created during the construction phase, with approximately 6,000 new jobs once the development is complete.

The automotive park will also be one of the world’s leading sustainable developments, targeting the growth of low-carbon industries and events. It will be a hub for research and development companies that are seeking to push the boundaries in environmental technology and energy solutions. The park will showcase the latest technologies that capture and generate energy for the facility.

A race academy and training facility to develop future Welsh and UK talent will work in unison with the motor racing circuit. Commercial, industrial and leisure developments will be at the heart of the project, providing opportunities for the growth of advanced engineering, technology, education and sustainable transport-related businesses.

The project also has a major community engagement strategy which, according to HVDC’s head of training and recruitment. Jonathan Jones, will result in huge benefits to the region in terms of jobs and investment.

A training placement programme is expected to deliver a minimum of 1,650 training places in construction and service-based industries, while the circuit’s renewable energy scheme will deliver a fixed price energy solution for a number of residents and businesses.

There will also be a separate youth engagement and training programme while a mitigation strategy for improved grazing and habitat is set to provide better biodiversity - a project which will be delivered in partnership with Natural Resources Wales (NRW).

Jones said: “This represents a huge milestone for Circuit of Wales and means we are now a major step closer to delivering the many jobs and opportunities the development will offer.“

For more information on Circuit of Wales, click here.