Cinema operator Vue is reported to have pulled out of the scheme to convert the Brighton Hippodrome into an eight-screen multiplex.

The news cheered campaigners from Save Our Hippodrome as they held a rally outside the Victorian ice rink which later became a theatre and a bingo hall. It has stood empty since 2007.

The campaign group gathered at the Hippodrome at lunchtime today (Sunday 11 January) supported by Green, Tory, Labour and Liberal Democrat politicians.

Former Damned guitarist Captain Sensible also joined campaigners.

Central Hove Liberal Democrat Jeremy Gale said: “The campaign to save the Hippodrome has received huge support – 14,000 people signed the petition, nearly 12,000 emails have been sent to Brighton and Hove City Council and rallies have been well attended.

“The hard work has paid off as Vue will not be proceeding with their planning application.

“It’s testament to the strength of support the ‘save our Hippodrome’ campaign has garnered over the last few months.

“The campaign has had our unequivocal support for some time.”

The Green MP for Brighton Pavilion Caroline Lucas attended the rally today along with her Labour rival Purna Sen and Conservative opponent Clarence Mitchell.

Mr Gale said: “Three of the four Green councillors on the Planning Committee voted in favour of the now junked cinema plans yet their MP was here today lending her support to the Hippodrome campaign.

“This is just another example of how fractured the Greens are over the key issues affecting our city.”

The campaigners want the Hippodrome to be restored and used for live theatre as it was until 1965.