A £1m bid to buy canalside land for a community centre has failed.

But urgent talks are now to be held in an attempt to keep the scheme alive.

British Waterways, which owns the site near the Oxford Canal, turned down the £1m offer by the Jericho Canalside Development Group.

The scheme for the Dawson Place site would also include a cycle route, a restaurant, a boatyard and workshops.

Now, after the rejection of the bid, members of Oxford City Council's leisure services committee are to hold talks with British Waterways and the group, a consortium including Jericho Community Association, St Barnabas Church and local businesses.

Committee chairman Cllr Bob Price said: "The community centre is badly needed and we hope the talks will get us back on track." The vicar of St Barnabas, the Rev Michael Wright, said: "British Waterways has made a purely commercial decision which I think is appalling."

He said the council and the Church had pledged cash, and the group could go ahead with applications for Lottery money if British Waterways committed itself.

But Simon Ainley, Oxford Canal manager for British Waterways, said that it had to act in the best interests of the public.

"Lack of certainty of some of the monies offered is at the root of this decision. We feel very disappointed the community bid is not as financially robust as we would like. The bid was intriguing," he added.

Story date: Tuesday 21 March

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