Chichester looks certain to get a massive leisure complex and a new school after a £25 million deal was salvaged.

The deal means Chichester will get a six-screen cinema, heath club, bowling alley, restaurants, a hotel and a school.

The development will take place on a site in Stockbridge Road, currently occupied by part of Chichester High School for Girls.

West Sussex County Council will use money from the sale of the 25-acre complex to build the school at another campus nearby.

Fresh talks salvaged the deal, which collapsed in September when developer Citygrove put in a revised bid, blaming a downturn in the leisure market.

Councillors rejected it because it would not have left enough money in the kitty to build the school.

The funding gap has now narrowed from £2.25 million to £220,000.

District councillors have agreed to help bridge the gap and the school is contributing £300,000 towards the new buildings.

Contracts should be ready to sign on December 28 and building work could start next spring.

Permission for the scheme has already been granted and the Government has confirmed it is not ordering a public inquiry.

The announcement was welcomed today by teachers and governors at the girls' school.

A county council spokeswoman said: "The sale remains conditional but the council and the developer will be working on the details of their schemes in the hope that the green light will be reached at the end of the year."