The planned new venue for Cardiff Bay will cost around £150m to build and the winning consortium includes global entertainment operator Live Nation.

The city cabinet is expected to sign off the project next Thursday allowing letters of intent to be signed in October, paving the way for planning to be submitted.

Under the revised timetable, the contract will be signed off in March to allow a start in April on the three-year construction programme.

The pandemic has meant that completing the full business case has taken a few more months longer than originally expected, pushing the opening back to the end of 2024 rather than during the spring of 2024.

New indoor arena could attract one million visitors every year and bring £100m per annum into the local economy.

Nick Harris, group executive property director, Robertson, said: “We welcome the report which confirms our status, alongside our partners, to deliver phase one of the Atlantic Wharf, Butetown Masterplan.

“This is a significant step towards delivering the aspirations of the Council to create a vibrant visitor destination within Cardiff Bay.

“We were greatly encouraged by the positive feedback received during our public consultations recently, and look forward to working together, with our partners and the Council, to prepare the full planning application which will be submitted in October.”