A woman was allegedly raped in the customer toilets in the Palace of Fun arcade, Palace Pier, on Friday evening.
A 23-year-old man from Farnham in Surrey has been arrested on suspicion of rape and for being wanted on recall to prison. He was bailed until November 3.
Police say the alleged victim met her suspected attacker earlier in the day and the incident took place at around 8pm.
A Sussex Police spokesman said: “At around 9.40pm, police were called to an allegation of sexual assault near the Brighton Wheel. They detained a man close to the pier and the allegation of rape was made.”
Detectives want to speak to anyone who was on the pier around 8pm who may have been aware of the incident or who saw anything suspicious. Email firstname.lastname@example.org or call 101 quoting serial 1523 of 01/08.