Signing a deal for a new Liverpool ferry terminal has taken longer than expected, the Chief Minister has admitted.

The new landing stage at Princes Half Tide Dock, 800m down river from the existing Pier Head site, is not likely to be open until 2021.

But the Steam Packet’s lease at Pier Head is due to run out at the end of next year.

Chief Minister Howard Quayle said the delay had been due to ’technical issues’. It is understood these confirmed the need for certainty over an access road to the new site and the works to deal with contaminate land.

Liverpool Council last week announced it was about to appoint a contractor to build the waterfront link road for the new Isle of Man ferry terminal.

Mr Quayle admitted: ’It has taken longer than expected.

’But this is a deal involving a 200-year lease and we had to get it right. We have had technical issues with the purchase and we had to make sure we got the very best deal.’

The Department of Infrastructure announced earlier this month it had secured an agreement with Peel Land and Property Ltd over the leasehold ownership of the Princes Half Tide Dock site.

In 2016, Tynwald approved spending of up to £3.5m to buy the site. Project costs, however, have spiralled to £30m.

Back in 2015, the Steam Packet said Peel Ports was ready to invest £15m in replacing the life-expired Pier Head landing stage.

Peel would have wanted a return on its investment, likely through a long-term lease or purchase agreement.

Mr Quayle said the newly-state owned Steam Packet will be looking at contingency plans for when it is evicted from the Pier Head until the new terminal is ready.

He said: ’They might have to go across the river to Birkenhead or provide more sailings to Heysham.’

However, the Manannan fast craft cannot berth at Birkenhead due its size and the tides and currents on that side of the Mersey.

The Princes Half Tide terminal will be able to handle all winter weekend freight that currently goes via Birkenhead. If Heysham is unavailable for any reason, freight will be able to be transported through the new terminal.

Meanwhile, Liverpool City Council is recommending the contract be awarded for the £7.6m link road to the £30m facility.

The new road and ferry terminal will lie within Peel Land and Property Limited’s Liverpool Waters scheme - a £5bn development site encompassing 150 acres of historic docklands in north Liverpool, stretching from Princes Dock to Bramley Moore Dock.

The contract has been funded by the Liverpool City Region Combined Authority through its single investment fund.

Mayor of Liverpool Joe Anderson said: ’The new Isle of Man ferry link road is a vital scheme and I’m delighted we are now at the stage to make the project live. The road’s core function of is obviously to support the new ferry terminal but it will also bolster the wider development of the Liverpool Waters scheme and we are grateful to Peel and the city region combined authority for their support in this scheme.’

The Packet is being evicted from its historic Pier Head site to make way for the City Council’s new cruise liner terminal.