One of the world's best-known nightclubs is threatening legal action if it loses trade because of a Manx developer's block of flats.

Ministry of Sound says it may sue Southwark Council if it gives the green light to Oakmayne Properties' proposals.

The company, which is based in Athol Street in Douglas, wants to build a 41-storey building with 255 flats, next door to the iconic venue.

The club's lawyers have written to the council, saying if residents complain and the club loses its licence, it will go to court in a case which could be worth tens of millions of pounds.

Southwark Council's planning committee will consider the scheme in October.