The Department of Enterprise says it wants to upgrade facilities behind the TT grandstand in Douglas.
In a planning application, the department's Motorsport Team has asked for permission to tarmac a hardstanding car park near the Mike Hailwood Centre.
In its application, the department says the area has been used heavily during the pandemic as it houses part of the Covid-19 testing centre.
As well as the car park, the department says it also wants to improve the access road to Noble's Park from Dukes Road.
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