Cineworld has agreed a deal with Telford and Wrekin Council (TWC) and Citygrove for a new 11-screen venue as part of the £250m regeneration of the Southwater area of Telford.

The new multiplex cinema is set to form part of a wider mixed-use scheme for Southwater, which will also comprise an 80-bedroom hotel and seven bars and restaurants. It is anticipated that TWC and preferred developer Citygrove will submit proposals for the development later this year, while talks with hotel and restaurant operators remain ongoing.

TWC leader Kuldip Sahota said: "This news is the beginning of a very exciting new phase for the whole Southwater project. "We are now looking forward to being able to announce a number of major names as operators of different parts of the development."

Construction work is scheduled to commence in summer 2012.