Plans have been approved for a new luxury hotel to be created in Westminster.

The historic Old War Office building is set to be redeveloped into a new £1 billion five-star facility by The Hinduja Group and OHL Developments.

The 1,000-room Edwardian building will be transformed with a double-height basement and three new floors, containing luxury facilities for the hotels' guests. In addition, plans include creating 88 new flats as well as a £10 million donation to the 'affordable' housing fund.

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The approval is conditional on the new hotel offering public access to historically significant parts of the building for at least 10 days each year.

Cllr Richard Beddoe said the scheme will boost the area's economy as well as "further cementing our position as a world class destination for tourists".

"These plans give this building a new purpose while respecting it's place in history," he said.

"The War Office has played a pivotal role in our country's past and ensuring members of the public had opportunity to visit and experience this iconic building first hand was a key consideration in our decision."

The Grade II-listed former British army headquarters, located at the junction of Horse Guards Avenue and Whitehall, has a rich history with Winston Churchill among the many famous figures to work there.

(LM/MH)