The casino could have up to 80 gaming machines

It is one of 16 regional gambling centres which have been approved to be built across the UK.

However, plans for a super-casino development to be based in Manchester have been dropped.

Culture Secretary Andy Burnham said the smaller projects did not "pose the same level of risk" of "negative impact" as the Las Vegas-style scheme.

The Stranraer casino - part of a wider seafront redevelopment - has attracted local opposition.

It is the only casino being considered for Scotland under the scheme.

Supporters have said it would help rejuvenate the economy of the ferry port.

Dumfries and Galloway Council has promised full consultation before any final decision is taken to proceed.