London Mayor Ken Livingstone has announced a �7m package to help London's tourism industry.

The cash will go towards building an international convention centre in the centre of the city and also help to provide more affordable hotel accommodation in outer London.

There are also plans to improve tourism staff training.

A new company aimed at promoting London will also be set up.

'Transform marketing'

Mr Livingstone, who is to coordinate the new firm, said: "For too long the industry has suffered from a lack of strategic direction.

"This is my way of saying tourism is important to London and that I am making every effort to lead and support this crucial industry."

It is also hoped the appointment of Tamara Ingram as chairwoman of the London Tourist Board will bring private sector expertise to the operation.

Ms Ingram, chairwoman and chief executive of advertising agency McCann Erickson, said: "Extra funding and the enhanced partnership between the public and private sector give us a real opportunity to transform our marketing."

Michael Ward, chief executive of the London Development Agency, said jobs in tourism and leisure were the "key" for London's future.

The scheme also has the backing of British Airways chairman Lord Marshall.

Last November, the mayor announced a �4m package to help the industry, which had suffered in the wake of the 11 September terrorist attacks in the US.