The London Motor Museum is on the brink of closure because of a £130,000 rates bill.

Hillingdon Council has applied to make the business insolvent, and the two parties are due to appear at the High Court on Monday, November 11.

More than 330 people have signed an online petition to save the museum, in Nestles Avenue, Hayes.

Museum founder Elo says it is a Community Interest Company (CIC), which is not-for-profit and benefits the community, making it eligible for exemption from rates. Next door is London Supercar Workshop, a car customisation business – an additional attraction for visitors, and is subject to full rates.

Elo told the Gazette the museum and the workshop were one limited company but he divided it into two to qualify for rate relief on the museum, on the advice of council officers. The authority then decided it did not meet the necessary criteria. An appeal against that decision failed.

Elo said: “This company is important to me. I have invested every penny I have in it, but I don’t know whether we will be able to bail it out. Every other museum in the country is rate-free.

“Without the workshop and the income that generates, the museum would be non-existent, but the council wants full rates because of the workshop. It is a catch-22 situation.

“I believe we offer an inspiring and educational attraction with our unique car collection, and provide a great reason for people to visit Hayes.”

Councillor Jonathan Bianco, cabinet member for finance, property and business services, said: “Since 2007, the council has offered considerable advice to the museum on the criteria that need to be met to qualify for discretionary rate relief.

“The council carefully considered its ‘not for profit’ status, as well as the cost to the council taxpayer of providing relief, before refusing their application.

“They also owe a considerable amount of money to the council, which could be spent on front-line services.

“We have no option other than to take action to minimise further losses.”

The museum moved to Hayes in 2007. It has about 200 classic and custom-built cars.

If you wish, you can sign the online petition at http://chn.ge/17VSvLY.

? Would you be sad to see London Motor Museum close?

Email jack.griffith@trinitymirror.com.