THE £23 million restoration project for the Madeira Terraces could be handed to a trust or a body separate from the council.

Brighton and Hove City Council leader Warren Morgan told The Argus a trust similar to the one set-up to run the Royal Pavilion could be the way ahead to deliver the heritage project.

Cllr Morgan said he would not rule anything out but a private organisation leading the scheme could prove difficult as the site would need to remain public realm and required substantial public funds.

The Labour leader was discussing his plan B for the Terraces after the setback of missing out on £4 million of Government funds.

Cllr Morgan hopes the hitch would not cause a significant delay in the scheme scheduled to start in 2019.

He said it would take a month for a crowdfunder seeking public donations to be set-up because it was more complex than a Justgiving page.

A high-profile launch would feature some of the 15 businesses already backing the idea and Cllr Morgan hopes it will be “a big campaign that unites the city”.

He said he did not want to put a ceiling on what could be raised through donations but an amount well above six figures would be great though it was “not realistic” to crowdfund the entire £23 million.

As part of the new four-point plan, the council is considering pop-up businesses in Madeira Drive.

Cllr Morgan said the area continued to be a successful event space and focal point for the city.

He said: “It is not a dead space but we could make so much more of it if it was animated with other functions. People say to me ‘oh events are pulling out at Madeira Drive’ but we have no evidence of anyone pulling out. It is a live and active space.”

Communities minister Sajid Javid has indicated the council missed out on funds partly because there was no planning application for the Terraces.

Cllr Morgan said the authority was moving towards a planning application but would not spend taxpayers’ money on it without “a reasonable guarantee” the scheme could be delivered.

The council has also said a Public Works Loan Board loan could help with later phases but a business case to pay back a loan was less clear-cut than for the i360, which secured £36.2 million.