HUTTON Rudby people who are raising money to build a new village hall have suffered a setback in their attempt to receive a £570,000 lottery grant.

However, they have been advised to apply for a smaller amount from a different section of the National Lottery.

The village hall management committee wants to raise a total sum of £820,000 for a new hall. The current hall was built in 1927 but it is now supported by buttressing because of structural problems to the foundations, caused by trees.

The building was erected when Hutton Rudby's population was just 600. Today, there are more than 3,000 residents.

So far, £35,000 has been raised through a series of well-supported events, including dramatic productions, an auction and an open-garden day.

John Autherson, of Rudby, is project manager for the scheme and a drama group member.

He explained that the National Lottery Community Fund had turned down the recent £570,000 application because money was tight and Hutton Rudby's requested amount was above the maximum sum normally given out.

"Because the hall has serious structural problems and hence a limited life, it had been hoped that an exception would be made regarding the maximum donation. But this was not to be.

"As a result, the village hall trustees have decided to reformulate the funding plans. Because a wide spectrum of activities take place in the hall, or are planned, we will act on the advice of the Lottery Board and make an application to the Sports and Arts section.

"In addition, we will make a repeat application to the Community Fund for a much smaller amount."

Mr Autherson said lottery funding was likely to be less than 50pc of the total sum needed for a new hall.

"We will redouble our efforts to seek other grants, and fundraising activities within Hutton Rudby will continue."

He emphasised that campaigners were not downbeat.

Supporters finally received planning permission for a new hall in January , after Hambleton Council rejected a larger design.