BUSINESS leaders have welcomed the news that cruise giant Carnival is to build its UK headquarters in Southampton.

As exclusively revealed in the Daily Echo yesterday, the US firm which owns Cunard, P&O Cruises and Queen Mary 2, is to unite its five Southampton offices into one landmark building.

The deal also puts plans for an entertainment arena, ice rink and conference centre firmly back on the table and kick-starts development of the West Quay Phase Three scheme.

Captain Jimmy Chest-nutt, director general of the Southampton and Fareham Chamber of Commerce said: "We are delighted to hear Carn-ival are building their new headquarters in Southampton.

"This is excellent news for the city and the port and confirms Southampton's status as the premier UK cruise port.

"It is particularly good news if it will facilitate the redevelopment of WestQuay Phase 3, especially if it results with a conference centre that this city needs."