The Isle of Man Department of Tourism and Leisure has announced that it has been unable to reach agreement with the Sefton Group over the proposed Heads of Terms for the lease of the former Summerland site to enable the development of The Wave leisure complex.

The motion to the October sitting of Tynwald has therefore been withdrawn. Hon Martyn Quayle MHK, minister for tourism and leisure, said: "I realise this will be a huge disappointment to Tynwald and to island residents who, I believe, fully supported the need for new and improved leisure facilities."

The department says it will now consider the options available to it vis a vis the future use of the site and will make an announcement as soon as it is able to do so. The Sefton Group have yet to comment. Initial plans for the multi-million pound Wave complex included a multiplex cinema, a ten-pin bowling facility and exhibition areas capable of accommodating skating. Casino and bingo facilities were also earmarked for the venue, as well as restaurants, bars and conference facilities.