FINAL funding for the £46m restoration of historic clipper Cutty Sark is now in place, it has been announced.

The last £3m has been secured from the Department for Culture, Media and Sport and a further £3m from Greenwich Council, on top of other contributions.

Conservation of the ship is expected to be completed next year, in time for the 2012 Olympics.

A £21.8m grant had already been secured from the Heritage Lottery Fund, with a further £14m from the private sector, including a donation from shipping magnate Sammy Ofer.

The resignation of chief engineer Prof Peter Mason last year, citing spiralling costs and disillusionment with the new design, had led to speculation that the project was floundering.

But Prime Minister Gordon Brown claimed today (Feb 4) the ship’s future was secure.

He said: “Today’s announcement means that the historic clipper - that much-loved part of our maritime heritage since it was installed at Greenwich more than 50 years ago - will once again be open to the public, and in pristine condition.”

The 19th-century ship went up in flames in 2007, when it was a quarter of the way through a £25m conservation project.

Initially, it was claimed restoration would cost £35m and would be completed this year.

Under the plans, the ship will be suspended three metres above the dock, with the area below used for exhibitions and other facilities.

Leader of Greenwich Council Councillor Chris Roberts said: “In Greenwich we are tremendously proud of our heritage, of which Cutty Sark is an iconic symbol.

“After the fire it was clear that our sense of place was shared by people across the world. We are proud to play our part in restoring and conserving the ship for generations to come.”

Greenwich Conservatives’ spokesman for culture and Olympics Councillor Nigel Fletcher said he would be pressing for a proportion of future revenue to be ploughed into other heritage projects in the borough.

He said: “Hard-pressed taxpayers may find it a tough pill to swallow, but pulling the plug on the project at this stage would be unthinkable."