Work stops at Cardiff Jarvis

A HOTEL half-way through a £5m refurbishment project could be partly demolished and converted into shops and offices.

Jarvis Hotels, which leases Cardiff's Royal Hotel from Cardiff County Council, had planned to finish the work in time for the city's hosting of the Rugby World Cup in October.

But when an application for a £300,000 grant was turned down by the Wales Tourist Board, the renovation work was halted.

There is speculation that Jarvis is holding talks with London property company Hampton Trust, which is understood to be interested in building a shopping and office complex in its place.

A Jarvis spokesman said: "When we didn't get the grant our calculations were thrown out and we had to refer the matter back to the board. The hotel is closed awaiting a decision."