The £107million Forum project will be completed on budget – but a year later than planned – say city chiefs.

The huge 600,000 sq ft development which is transforming the Kings Quarter was originally due to be finished by September 2024.

But after hitting unexpected construction issues, the completion date has been pushed back to next summer.

However, with most of the building work complete, the first tenants are expected to move in before Christmas with the hotel and carpark to follow early next year.

Cllr. Jeremy Hilton, (LD, Kingsholm & Wotton) leader of the council, said the project should be completed in full by early summer at the latest "subject to no unexpected hiccups".

"The Forum project is proceeding as planned and there haven't been any further delays since the Liberal Democrat administration took over from the Conservatives," he said.

"We are expecting the fit out of the hotel to start in the new year and be finished in the springtime. Staff are now being employed. The carpark will be open in the first quarter of the new year.

"As with all projects of this nature, construction issues can delay progress such as the laying of a new gas main that is currently being done."

The development is part of the wider £200m regeneration of the city centre, which includes the University of Gloucestershire's City Campus development on Kings Square and Kings Square itself. It has been brought forward by Reef Group in partnership with the council.

Gloucester based E G Carter & Co Ltd constructed phase one which includes Kings Square, the 19 Whitefriars apartments and 5,000 sqm of retail space occupied by a Tesco Express.

Kier is working on Phase Two encompassing the main campus with 135,000 sq ft of Grade A workspace, the 131-room Hotel Indigo, including a restaurant, conferencing facilities and rooftop cocktail bar, and the 398-space Q-Park car park.

Completion of the project tops the council's draft four-year corporate plan  which was approved for public consultation last week. It said the council's priority is "ensuring income meets expected levels and office occupancy is at least 80%."

Bosses have already secured tenants for 70% of the development, with Gloucestershire-based tech specialists Fasthosts Internet Ltd taking all 19,000 sq ft office space  available at No2 Cathedral Walk.

Cllr Hilton said: "This is an exciting new addition to Gloucester's built environment. The first tenants should be occupying their offices before Christmas. The Forum is on target to be completed within budget."

Punchline-gloucester.com says: "The development is moving in the right direction and it is exciting to see it finally nearing completion.

"We are not surprised that there have been delays with such a complex project, situated where it is.

"Rumours have been swirling for some time that it was over budget but we have now heard from the horse's mouth that this is not the case which is more good news for the people of Gloucester."