THE boss of a major motorsport organisation has described a High Court decision to award compensation to residents living next to a North- East race track as a “travesty of justice”.

Croft Circuit faces a bill of up to £850,000 in compensation and legal costs after judges ruled its neighbours were right to complain about excessive noise.

Race organisers have warned that the decision could threaten future events at Croft, as well as setting a precedent that could leave motorsports venues nationwide open to compensation claims.

British Touring Car Championship (BTCC) director Alan Gow said it could hit Croft Promo-Sport by “greatly reducing their ability to earn the necessary revenue required to operate the venue”.

“The effect it could potentially have is that Croft, as either a venue itself or the company that currently runs it, ceases to exist,” he added.

“The consequences of that happening, for all of British motorsport, do not bear thinking about.”

Dalton-on-Tees couple Derek and Julia Watson, and daughter Jill Wilson – the exwife of the circuit’s former manager – took court action to limit the number of days the track could host noisy race events to 40 per year.

The family had no objection to flagship events such as British Superbikes races, but complained that regular test days caused “loud, intrusive and repetitive noise”.

Their solicitor, Paul Stookes, said the ruling would not affect other circuits.

He said Croft Promo Sport had had ample opportunity to provide evidence that it would adversely affect their business, but failed to do so. He said his clients had not sought the compensation awarded by the Court of Appeal.

“Croft had every opportunity to resolve this matter without legal proceedings, but it chose not to do so. At no time has it been their intention to close the circuit down.”

Croft Promo-Sport director Dennis Carter warned the ruling could have “serious implications”

for Croft’s future.

Mr Gow said: “It’s a totally misguided decision.”

The BTCC stages its next event at Croft on June 14. Tickets are available now.