A HAMPSHIRE Scout and Guide group which risked losing over a quarter of a million pounds of lottery cash looks set to stay quids in.

Hedge End's 13th Itchen North Scouts and Wildern and District Guides have cleared the first hurdle on their way to meeting a £39,000 shortfall in their headquarters development scheme.

The National Lottery board had said it would not free up their £260,000 grant to get work started at the Woodhouse Lane site unless the full funding was in place.

But on Monday night, members of Eastleigh Borough Council's local area committee kick-started the cash flow by freeing up a £17,000 boost to the coffers.

And the project's overseers have named local Hedge End business State Securities as the mystery backer that will lend the Scouts and Guides the rest of the money necessary to get work started.

Project manager Harry Butler said: "I hope we are nearly there. I am extremely grateful to the help that Hedge End and Eastleigh councils have given us to date.

"We have been fortunate enough to have a local company willing to underwrite the £39,000 as a loan.

"Obviously if we take out that loan we will have to pay it back at some stage."

A plea has also been made to Hampshire county council to match the amount given by the Borough Council. The Scouts and Guides have themselves raised £2,000.

Mr Butler added: "The feeling is if Eastleigh does its bit there is every chance that Hampshire will do the same."

As a result of the promised loan, it is now hoped work will begin in around six weeks' time after paperwork concerning the lease of the land has been dealt with.

Last year, the development was placed under a similar threat when the Scouts and Guides faced a race against time to search for a new site after initial plans were blocked by the county council.

A condition of the lottery grant was that construction had to be started before April this year.