SOUTHAMPTON docks' owner Associated British Ports today shrugged off the loss of its Dibden Bay plans with a rise in pre-tax profits of four per cent to £135.4m.

Figures released by the company confirm that the port of Southampton still leads the way as the top vehicle-handling port in the UK and as the country's cruise capital.

Southampton is a key contributor to ABP's UK ports turnover of £365.4m - the lion's share of the company's £439.5m overall operation.

The figures paint a rosy picture of a port on the up, a contrast with the gloom that followed the government's refusal to approve £600m plans for a new terminal at Dibden Bay in April last year on environmental grounds.

Southampton is home to the second largest deep-sea container terminal in the UK, handling about half of the UK's containerised traffic with the far east. Nearly one and a half million container units were handled during 2004 - an increase of almost five per cent on 2003.

The city's coveted status as the UK's number one cruise port was confirmed, with passenger numbers topping 500,000.

ABP also announced in September that it is to invest a further £500,000 in the newest cruise facility, City Cruise Terminal, to create more check-in desks, baggage storage and car parking.

The number of vehicles handled at Southampton reached nearly 750,000 last year. Such is the demand for more car-storage space at Southampton that ABP has recently announced it will invest about £4m in a second facility. The new "multi-deck" will accommodate growth in the port's deep-sea car trade, which has seen volumes more than double since 2000.

Andrew Kent, ABP port director, Southampton, said: "As a busy port at the heart of the south's regional economy, supporting thousands of jobs, Southampton is a vital artery for the UK's international trade. ABP has built a strong ports business here in Southampton by adapting to the changing needs of its customers and the growth in trades from around the world. Continued investment, underpinned by long-term contracts, reinforces Southampton's position as one of the UK's largest, busiest and most efficient ports."