AN HISTORIC Burnley treasure is to stay in the town despite a lucrative bid by a top American university, the Lancashire Telegraph can reveal.

Bosses at Yale University, in Connecticut, earlier this year tried to buy a bust of 18th century art collector Charles Townley, whose family seat was Towneley Hall.

But Culture Secretary Margaret Hodge placed a temporary export ban on the bust’s sale by its mystery owner, giving Burnley Council until this week to find the £300,000 needed to buy the statue.

It is understood the cash has been secured from a variety of sources and the bust, which is based on a death mask of Townley, is set to be brought back to Towneley Hall, where it was displayed from 1926 to 2007.

The Heritage Lottery fund has contributed £178,000 to the fund.

Coun Charlie Bullas, executive member with responsibility for Towneley Hall, said: “This is really good news for Burnley.

"The statue is something we could have lost but it is part of the town – Burnley is its rightful home.

“However, it was very close to the deadline when we secured the money.”

The council is expected to make a full announce-ment detailing where the money has come from later this week.

Councillors approved a bid to the Art Fund and National Heritage Memorial Fund for part of the cash.

Townley, who was originally known as Charles Towneley, was a trustee of the British Museum.

Until 2007, the bust, created in 1807, was in the possession of the O’Hagan family.

However, Lord O’Hagan sold it at Christie’s last year to a London collector.

Shortly after, Yale University announced its intentions to buy the bust and fly it over to the US.