HOPES that hundreds of jobs could be saved at Lotus have been given a boost with Renault potentially rescuing the Enstone-based business.

Lotus won more breathing space yesterday in insolvency proceedings brought against the Formula 1 team by HM Revenues and Customs (HMRC).

At London’s High Court, Mr Justice Birss granted a 10-week adjournment after hearing a loan agreement had been finalised, which will see HMRC receive £2.7million this week.

It comes after HMRC had applied to put the Formula 1 team into administration over unpaid bills relating to income tax and National Insurance. It would have lost 400 jobs at the Oxfordshire firm. But Lotus has been offered a lifeline after the High Court judge granted the company’s application for the adjournment, which was backed by Renault Sport, on the basis it helped to bring about the ongoing success of the business.

He said: “The best chance of doing that is for this business to be rescued by Renault.”

The court hearing came against the background of an announcement by Renault of its intention to take over the cash-strapped Lotus team.

A statement from Renault read: “Renault Group and Gravity Motorsports S.a.r.l., an affiliate of Genii Capital SA, are pleased to announce the signature of a letter of intent regarding the potential acquisition by Renault of a controlling stake in Lotus F1 Team Ltd.

“The signature of this letter of intent marks Renault’s first step towards the project of a Renault Formula 1 team from the 2016 racing season, thereby extending 38 years of commitment of the brand to world’s premier motorsport championship series.”

The French car manufacturer added it would work in the coming weeks to turn this initial takeover into a “definitive transaction”, provided all terms and conditions were met between them and other interested parties.

Prof Gareth Neighbour, head of mechanical engineering and mathematical sciences at Oxford Brookes, said he was pleased with the news that Lotus’s future looked “increasingly secure”.

The university is renowned for its motorsport engineering graduates and works closely with the Enstone-based company.

He added: “F1 has faced significant cost challenges in the last year or so, but it remains the aspiration of many young people at the forefront of the engineering profession. We have a close affinity with Lotus F1 and are pleased that their future looks increasingly secure.

“We have many graduates in F1 Lotus, as with every team, and indeed two of our students have just returned from placement with them .”

The next High Court hearing is due on December 7.