First unveiled in November last year by site owners the Scarborough Muir Group (SMG), the development would cover 120 acres and include five zones in the shadow of the Forth bridges. These would incorporate: a business and employment park; the Rosyth Gateway commercial zone, including a supermarket, leisure centre, restaurants and large stores; shops, cafes, bars, galleries, housing and waterfront gardens.

Mike Shirkie, Labour councillor for the Rosyth ward, said: “Having fought for the past 10 years for the mixed use development of Rosyth Waterfront, I am delighted that common sense has at last prevailed.

“It could not have come at a more opportune time with the announcement of World Heritage status of the Forth Bridge by UNESCO and completion of the Queen’s Crossing next year creating a unique three Bridges site across the Forth.

“Mixed use development of Rosyth Waterfront will provide a fantastic ‘Gateway’ for tourists, create thousands of much needed jobs during the construction and operational phases and finally give access to our people to the Waterfront for the first time in over 100 years.”

Alex Rowley, Labour MSP for Cowdenbeath and former leader of Fife Council said: “I am pleased with the Committee’s decision to accept mixed use waterfront development at Rosyth, with the recent announcement awarding Forth Rail Bridge World Heritage status, I feel the timing of the decision is right for Rosyth.”

SMG, which bought the former Ministry of Defence site in 2004, aims to submit a planning application within months following a consultation process with Fife Council and the public.

SMG director William McAllister said he believes the project would create 3,500 new jobs.

He added: “As one of Scotland’s largest urban regeneration schemes we are pleased to be making good progress as we work towards submitting a planning application.

“The new strategy means that new thinking is required and we look forward to working with council officers to deliver the clear political direction that has been given.”