The Memorandum of Understanding (MoU) paves the way towards securing the long term future of the British Airways London Eye .

British Airways will sell its entire interests in the Eye including its one third share and its outstanding loan to the company for £95 million. The airline plans to continue its brand association with the attraction by extending its franchise agreement.

Martin George, British Airways’ commercial director said: "I am delighted that we have reached an agreement that paves the way towards securing the future of the Eye for generations to come. British Airways has supported the Eye for nearly a decade and will continue to do so with the extension of its franchise agreement."

"The deal will also enable us to continue to strengthen our balance sheet and focus on our core business."

"Tussauds has proven experience as the operator of the Eye and since its launch in 2000 has helped make the Eye the most popular paid for attraction in London. The company is committed to the future development and success of the Eye for the benefit of the consumer and London’s £6.6 billion tourism industry."

Peter Phillipson, chief executive of The Tussauds Group said: "It has been everyone’s objective to create a financially secure and long-term future for the London Eye and this deal will achieve this."

"We believe that we have the operational experience through our city centre attractions such as Madame Tussauds; theme parks like Thorpe Park; and national historic treasures like Warwick Castle to continue to develop The Eye as an icon that London and Londoners can remain proud of."

"We are extremely excited about the prospect of taking the Eye forward and developing this great cultural attraction. We plan to invest £50 million in the attraction over the next five years."