THE long-term future of the Cutty Sark has been safeguarded by an £11.75m Lottery grant.

There were fears the maritime monument would have to close within two years if it did not receive major investment.

But now money from the Heritage Lottery Fund means much-needed repair work can be carried out on the 136-year-old ship.

News of the cash boost was announced by Lottery Fund director Carole Souter and TV makeover expert and heritage campaigner Laurence Llewelyn-Bowen.

The flamboyant designer's presence was appropriate as the money will be spent giving the ship a much-needed makeover.

During the repair process the vessel will be encased in a transparent inflatable envelope, so visitors can view the restoration as it takes place.

Some of the money will be used to replace the main deck, which is too badly decayed to repair.

Plans are also in place for a new learning centre and additional catering facilities.

Chief executive of the Cutty Sark Trust Richard Doughty said: "There was a very real danger without development the ship would suffer a monumental collapse, which would have been catastrophic.

"This award gives us a fighting chance and allows us to move to the next stage of development.

"But we are not out of the woods yet. We have got a major task in front of us."

The grant is ring-fenced, with £1.3m awarded initially.

The rest of the grant is earmarked to protect the ship from further damage for the next 50 years.

Work on the restoration is due to begin in October 2006, to the delight of local interest group the Greenwich Society.

Executive committee member Ray Smith said: "The Cutty Sark is a major icon in Greenwich, along with the National Maritime Museum.

"It is a great day for Greenwich but also for maritime history."