Tourism minister John Penrose has revealed that the government plans to launch an open market process for the sale of the Tote bookmaker 'in late autumn'.

In a written statement to Parliament on the 15 September, Penrose said the planned sale forms part of a commitment to resolve the Tote's future set out in George Osborne's emergency budget on 22 June. Penrose said: "In line with that objective, the government is now preparing to launch an open market process in the late autumn in which it will invite proposals from interested parties."

"This process will be open to all organisations who have an interest in the Tote, and the government expects to be in a position to update the House [of Commons] early in the new year." Nic Coward, chief executive of the British Horseracing Authority (BHA), welcomed the government's announcement and called for a "creative and modern approach" to resolve the bookmaker's future.

"Racing, through the British Horseracing Authority, has been in close dialogue with government about resolving the future of the Tote for a number of months," said Coward. "We look forward to continuing this constructive process, with the interests of racing at its heart, as has been confirmed by the chancellor, the secretary of state and the minister in the statement."

However, Scottish First Minister Alex Salmond has written to culture secretary Jeremy Hunt calling for immediate action to be taken on the future of the Tote. Salmond said: "The announcement from Westminster this week that an open market process will be launched in late autumn inviting proposals for the business is welcome but racing needs action now.

"Uncertainty has hung around the future of this great institution ever since and now the new government needs to make headway in resolving the issue. Income from the Tote must be available to benefit racing."