FRANKLIN College chiefs are going back to the drawing board after funding for a £35-million facility fell through.

The announcement was made after North East Lincolnshire Council had discussed outline plans for a complete new build.

According to college bosses, the plans continue to be processed and, as a result, outline planning permission was granted by North East Lincolnshire Council's Planning Committee this week, subject to approval by the Secretary of State.

But the Telegraph can reveal the management team at Franklin, headed by acting principal David Whittaker and deputy principle Clive Wilson, is drawing up a strategy for a new project.

Once complete, new plans will be submitted. It follows the announcement by the Learning and Skills Council (LSC) in December 2008 that its funds had run out and it could not supply £120-million.

The scheme, which it is understood could still go ahead, will create a cluster for the college, Grimsby Institute and Hereford School, all undergoing complete revamps.

Opposition to the original Franklin College plan has come from Sport England because of concerns over the loss of playing field.

Mr Whittaker said they were pleased the old plans had the go-ahead despite now working on new ones. He said: "We were keen to complete the planning process to enable us to keep options open.

"The college is delighted to have received planning permission for the original capital scheme in principle, subject to resolution of the playing field space issue.

"Although staff, students were anticipating a new redevelopment, due to the lack of Government funding, we are now developing an alternative strategy.

"The college will seek new permissions upon completion of the new strategy."

With the LSC transferring funding responsibilities to local authorities this year, North East Lincolnshire Council will have control of education cash.

Mr Whittaker said: "From next month, Franklin College will have the formal status of the designated sixth form college for North East Lincolnshire. The college has been notified it will be able to access future funding through the Building Schools For The Future Programme."