The new museum would join the city's 'Three Graces'

The waterfront building will shut on Sunday to make way for a new �65m Museum of Liverpool.

The new X-shaped building will provide 10,000 sq m (108,000 sq ft) of space at the Mann Island site.

National Museums Liverpool says that the current building is too small to house the large urban history collections and display them properly.

The new museum will have more exhibition space

The current museum tells the story of the people of Liverpool, their culture and contribution to national life and has interactive displays.

The North West Development Agency promised more than �30m in funding for the project.

Planned exhibits will cover social history and popular culture, and will look at Britain and the world through the eyes of Liverpool.

It is expected to be built in time for Liverpool's year as Capital of Culture in 2008.