Fatboy Slim's plans for a beach party in 2004 were cancelled

Discussions are under way between the Hove DJ's management company and the authorities for a 25,000 daytime ticket-only event on Marine Drive.

A beach party held by Fatboy Slim in July 2002 ended in chaos when 250,000 people turned up.

Council leader Simon Burgess said the 2007 gig would be completely different.

"We obviously couldn't have anything like the last one," he said.

This would be fantastic publicity for the whole city Brighton and Hove Hoteliers Association

"Part of the problem last time was that it was on the pebble beach.

"This one would have one tenth of the audience and would be in a contained area where many large events are held."

Thousands of people were left stranded at Brighton station in 2002 as transport ground to a halt.

Talks to hold another summer beach party in the city in 2004 broke down and the event was cancelled.

'Like to be youthful'

Mr Burgess said the New Year's Day party could be good for the city and he hoped it would go ahead.

"The council are keen to do everything we can - it is too easy to put up obstacles," he said.

"We like to be youthful in Brighton and Hove and being associated with big events like this is important to us."

Brighton and Hove Hoteliers Association is also in favour of the plan.

"Brighton is a tourism centre - we only exist because people come here," he said.

"This would be fantastic publicity for the whole city."

A spokeswoman for Sussex Police said the 2002 event put a "huge strain" on the city, which could not happen again.

But the force was not opposed to a party being held subject to strict restrictions.