Plans for a major £5.5bn redevelopment of London's Battersea Power Station have been given the green light by Wandsworth Council.

Real Estate Opportunities (REO) has secured planning permission for the Rafael Viñoly-designed scheme, which includes a pledge of more than £200m towards the extension of the Northern Line. Battersea's Grade II*-listed power station building is to be restored as part of the plans, which include 700,000sq ft (65,032sq m) of restaurant and retail space, a hotel, community facilities and a conference centre.

A riverside park, an extension to the Riverside Walk through to Battersea Park and public access to restored historic areas of the power station also form part of the scheme. Wandsworth Council planning committee chair Nick Cuff said: "This scheme would restore one of London's most iconic buildings and create thousands of new jobs and homes.

"There is still a great deal of work to be done but this is an important step forward and will give the area's other major investors the confidence to press ahead with their plans."