THE cost of redeveloping Scarborough's Rotunda Museum into an international centre of excellence for geology has risen, councillors have been told.

The scheme was originally planned to cost £3.5m but the final bill has now gone up by £1m.

Scarborough Borough Council's director of operations, David Archer, said the Heritage Lottery Fund had given £1,983,000, with a further £506,000 coming from the European Union.

Just over £1m has been raised through a fundraising campaign led by Lord Derwent of Hackness, who is one of the people behind the project.

Work is due to start on the site in August, with completion expected in January 2008.

The council's cabinet has agreed to increase its contribution to the project to £350,000.