FAREHAM Borough Council is sitting on a £1m cash surplus.

The money was set aside for the Market Quay road redevelopment that has proved to be unnecessary.

The shopping centre will be smaller than originally planned and a previously-proposed multi-storey car park will not be built.

Measures to cope with increased traffic are therefore not needed.

A council spokesman said: "When the previous developers put their plans forward, one of the things we were going to have to do is some work on the Quay Street roundabout.

"Now that Millers/CTP are doing the scheme, it is smaller and following a transport impact assessment no further off-site highway work was required.

Council leader Sean Woodward said: "We have controlled the budget for Market Quay very carefully.

"We set aside contingency for highway improvements.

"In round terms it is £1m - it is probably a lot more."

Cllr Woodward said five per cent of the cash will be used to pay for the Queen's Golden Jubilee celebrations in May next year.

As revealed in the Daily Echo this week, £30,000 will be spent on a new scupltured iron gate for West Street.

Nearly £10,000 will pay for all primary school children in the borough to receive a commemorative mug.

Another £10,000 will pay for community celebrations.

Cllr Woodward said: "The surplus will return to the council's capital budget funds.

"Nothing specific has been planned for its use yet.

"But we will use some of it for electric road signs around the centre guiding people to the Market Quay car parks."