Welsh cabinet politicians have said the deal was too risky and it questioned the claims about thousands of jobs being created during and after the £400 Million project was built and likely spectator numbers bringing in money.
Circuit of Wales has been given two weeks to declare its major backers and show a revised business plan to Welsh Government.
WheelsWithinWales understands promoters of the £370m project at Ebbw Vales have now raised additional private capital for the scheme which should meet Welsh Government requirements.
Revised investment plans for the proposed Circuit of Wales have been rejected today by the Welsh Government.