A second ferry terminal is set to be built at Dover, it's been revealed.

The Government has today given the go-ahead for the £400m development at the UK's busiest trust port.

Although it will only be built "when market conditions require its construction", Terminal 2 would effectively double the capacity of Dover's ferry port.

It has been dubbed by port bosses as a clear sign the Government expects ferry traffic to expand after the recession.

The move has been hailed as a significant part of the regeneration of that part of Dover, and a potential catalyst for the town's renaissance.

Audio: Mike Krayenbrink, director of development at the Port of Dover, gives his reaction to today's announcement

Bob Goldfield, chief executive, Port of Dover, said: "This is a great day for the port and its long-term future, for our local community and for the long-term resilience of the UK economy - all of which have been at the forefront of our minds during the development of this scheme."

It follows extensive consultations with the community, meaning Terminal 2 was unopposed when it went to the Secretary of State for decision.

Director of port development, Mike Krayenbrink, who managed the master planning process, added: "The scale and detail of consultation that has been undertaken at all levels over the past few years has been unprecedented.

"It is a clear indication of how seriously we take our responsibility to develop the Port both as a national asset and as a key part of the local community."

Terminal 2 will be the single biggest development ever undertaken by Dover Harbour Board.

It would become the second biggest ferry terminal in the UK after Dover's existing ferry terminal in the Eastern Docks.