Edinburgh-made hits might Avenge Connery's last flop

The film studio would bring hundreds of jobs to the city, ranging from security and catering to film technicians and actors.

He said if a planning application was made in the next six months, building work could begin next year and film-making by 2001.

Around 20 films could be made in the first five years of the project.

Edinburgh is attractive because it could offer quiet facilities relatively near to a city centre, Archer said, compared with London.

He added: "Certainly for Sean Connery there is a big element of patriotism. He sees this as putting something back, and ever since the devolution vote he has been keen to back Scottish film-making."

The former James Bond star is expected to put some of his own money into the project, he said.

Mr Archer said negotiations were not complete, and dismissed suggestions that Connery could be carrying out some sort of revenge by keeping the Government at a distance from the project, after the Scottish National Party-supporting star was passed over for a knighthood last year.

Connery already has a US-based film production company named after the area of Edinburgh where he once worked as a milkman, Fountainbridge Films.