The Tour de France is a “fantastic” opportunity to showcase Caerphilly County Borough next year, bringing in thousands of visitors and investment opportunities.

Council cabinet members have agreed to use £200,000 from a budget underspend to promote and support the world’s most famous cycling race in 2027.

The borough lies on the third stage of the Tour’s ‘grand depart’ – a 233km race from Welshpool to Cardiff.

On July 4 next year, riders will enter the borough in Nelson and race through Gelligaer, Hengoed and Caerphilly town before heading over Caerphilly Mountain towards the stage finish in the capital.

Speaking at a council cabinet meeting, Cllr Chris Morgan said hosting part of the Tour would “obviously” have “a knock-on effect for Caerphilly”.

“The Tour de France organisers estimate the three stages of the event to be held in the UK in 2027 will attract ten million visitors,” he said. “The TV coverage will also showcase the route through the county borough from the air, with worldwide coverage.

Cllr Morgan said the local authority had received a list of companies “eager to engage with us, from both Caerphilly Tourist Association and Caerphilly Business Club, as well as a local market operator who’s keen to operate marquees and pop-up bars”.

He said the Welsh stage of the Tour was expected to bring in 1.23 million visitors, meaning “the knock-on effects for this borough, for the outlay of £200,000, is fantastic”.

Mark S Williams, an executive director at the council, called the Tour “a massive showcase for the borough, from the point that the race enters the borough at Nelson to [where it leaves] at Caerphilly Mountain”.

There would be “tremendous opportunities for businesses all along that route, particularly the hospitality sector – hotels, guest houses, pubs, restaurants, bars,” he added.

The council’s leader, Cllr Jamie Pritchard, said it was “really important we hammer home how good this is going to be for the whole county borough”.

“It’s not just a race that will come through the borough for half an hour, it’s going to be a long-lasting legacy, good economic impact… and it is a major coup,” he said.

“It’s only right that we put in a relatively small amount of investment to get an awful lot back.”