The money would be paid back should England win the right to hold the event – plus a share of the profits made by the Football Association from the tournament.

Sports minister Gerry Sutcliffe, who sits on the 2018 World Cup Advisory Group, said: "We are very pleased to confirm that, on top of the support we have already given by signing off guarantees worth around £300 million, we have agreed to lend £2.5million, to help the campaign team make the case for a fantastic World Cup in England in 2018."