Developers who want to build houses in flood prone parts of Sussex could be forced to pay for new defences.

Floods minister Elliot Morley has ditched proposals for a tax on householders at risk of flooding in areas such as Lewes and Uckfield.

But he is going ahead with plans to charge property developers who want to build on the flood plain.

Mr Morley said the payment, the level of which has yet to be decided, would act as a deterrent to builders and the cash would raise revenue for new flood defences.

He made the announcement while unveiling the Government's review of the way cash for flood barriers is allocated.

The Department for Environment, Food and Rural Affairs will pay a block grant to the Environment Agency, replacing the system of some cash going to the agency and some to local councils in their annual grant.

The change will stop councils using cash meant for flood defences to bridge funding gaps in other services.

The minister also announced sole responsibility for rivers at risk of flooding would pass to the Environment Agency.