By Dickon Hooper BBC News, Bristol

The �500m revamp of a shopping centre in Bristol has taken a huge step forward with the announcement of who will take on the anchor store role.

A model of the new Broadmead

House of Fraser has stepped into the Broadmead breach after a deal with Marks & Spencer fell through.

Centre bosses have made it clear that the importance of this commitment is hard to overstate.

"No anchor, no development," said the centre's manager John Hirst.

The city council says M&S had agreed terms last summer but the deal collapsed.

'Deliverable project'

It was a similar story with Selfridges, which had also been named as a potential anchor.

In 2003, it said it was scaling down its UK expansion operations following a takeover.

The confusion over who would take on the role led the government to reinvestigate part of the scheme late last year.

Mr Hirst said: "The Secretary of State said he couldn't give the go-ahead as there was no anchor store and it needed to be a deliverable project."

John Prescott has the final say on whether to reopen a public inquiry held last summer into the compulsory purchase orders that are necessary for the scheme.

After doubts crept in over who would be the anchor, the government wrote to interested parties asking if they wanted the inquiry re-opened.

The capacity is there for both: we complement each other Sue Boer The Mall

On the last day for submissions, Valentine's Day, the Bristol Alliance, the developers behind the scheme, put forward their plans for "store occupancy".

A spokesman for the Government Office for the South West said: "Planners are looking at the submission and will draw up their recommendations for John Prescott - he has the final say.

"We are not able to give a timeframe on this."

The Alliance has said it wants building work to start this summer with the whole scheme open by 2008.

Mr Hirst said: "We need now to complete the compulsory purchase order (CPO) process.

"There is a need for communication between the relevant powers whether or not to go ahead with the CPOs."

Once Broadmead is expanded the existing site could be revamped.

Consultation has begun on making the centre a UK Business Improvement District, a scheme to give retailers more say on what happens on their doorstep.

Retail consultant

Consultation for the government project will end in March and a vote will be held in summer on whether to apply for the status or not.

The multi-million pound scheme should open in 2008

So where does this leave the out-of-town Mall at Cribbs Causeway?

Richard Caines, retail consultant at Mintel, said: "If the city centre is being redeveloped, it may have an impact on the outside centre.

"Both outlets will try and attract as many customers as possible."

Sue Boer, from the marketing team at the Mall, disagrees: "We are pleased that Broadmead is doing this. At the end of the day it is our customers who will win with better choice.

"It makes Bristol a regional shopping hub and the capacity is there for both: we complement each other."