A new 60m (197ft) observation wheel attraction is still scheduled to open this year in Brighton, East Sussex, despite plans being withdrawn by the company behind the scheme.

Paramount Attractions confirmed that it had pulled the plug on its current proposals for the attraction to be located near to the West Pier in order to prepare a planning application for an alternative seafront site.

Funding worth £6m is already in place to complete the Brighton O project and Paramount Attractions is now working along with Brighton and Hove City Council (BHCC) to seek a new location for the scheme.

A Paramount Attractions spokesperson said: "Our proposals has met with overwhelming support from businesses within the city, who recognise the tremendous economic boost the attraction will bring."

BHCC leader Mary Mears added: "The planning consultation showed there was a lot of support for the 'O' because of the economic and tourism benefits it would bring. Some of the objectors also commented that they could support the idea if it was on another site."