Liverpool City Council (LCC) has welcomed the government's decision to approve plans allowing cruises to start and end voyages in the city, following a year-long consultation.

The local authority has agreed to abide by a ruling that will see it pay back a grant towards the city's terminal, which was funded on the basis that it would be a "call in" facility.

Mike Penning, parliamentary under secretary of state for transport, said LCC will now be required to repay £8.8m as a lump-sum, or £12.6m over a 15-year period.

A temporary terminal to accommodate check-in, baggage and customs facilities is already under construction and is due to be ready for the arrival of Ocean Countess on 29 May.

LCC mayor Joe Anderson said: "It will provide a big boost to our tourism industry, with each vessel worth up to £1m - creating and sustaining many jobs."

Details: www.liverpool.gov.uk (Liverpool City Council)

Details: www.dft.gov.uk (Department of Transport)