RBS in conflict over Top Gear race-track

Royal Bank of Scotland and Prime Minister Gordon Brown are involved in a dispute regarding a property development plan on Dunsfold Aerodrome, well known by many as the test track used by BBC series Top Gear.

Campaigners are angered that the decision for whether the development will go ahead has been put to the government, as RBS was previously nationalised following the financial crisis, with a 70% share now owned by the government, giving it a financial advantage if it gives the scheme the go-ahead.

The proposed development would see 2,600 homes built on Surrey based airfield. RBS recently extended a £44m credit line to the developer, Rutland Group, which was a joint venture partner in the project.

Last years turbulent times in the financial sector led to RBS being bailed out by the taxpayer. A letter which was addressed to RBS chief executive Stephen Hester but obtained by the Observer said: "Given the government holding in RBS and the fact that the state will ultimately decide on the planning application ... we have significant concerns over a potential conflict of interest here."

Copies of this letter were forwarded to the Chancellor Alistair Darling, the department for communities and local government and UK Financial Investments by the Stop Dunsfold Town lobby group.

Campaigners say the dispute underlines the potential power given to the government as a result of UK bank take-overs such as RBS.

The plan has been thrown out by the local council over protests that it would increase congestion in the area, particularly the A281, as well as ruining the countryside. But McAllister said the development is supported by environmental groups who described the protesters as "the worried wealthy".

The final decision is to be made in September by the new communities secretary, John Denham.

UK Price Comparison website Which4U - Compare Credit Cards, Savings Accounts, Fixed Rate Bonds, Bank Accounts, ISAs, Loans, Mortgages, Insurance, TV & Broadband and Gas/Electric bills to find the best UK deals