More than £300,000 has been awarded to a project to restore City Observatory on Calton Hill in Edinburgh.

The City Observatory complex, designed by William Henry Playfair, has fallen into disrepair in recent years.

Conservation watchdog Edinburgh World Heritage (EWH) announced on Monday that it was granting £300,000 to visual arts group Collective, which is behind plans to upgrade the buildings.

The grant will help fund a project to open the complex as a gallery space by the end of next year.

EWH director Adam Wilkinson said it would be the "final piece of the jigsaw" in the conservation of Calton Hill.

The observatory buildings, which were constructed between 1818 and 1822, played an important role in the history of astronomy and timekeeping.

In 1854, a time ball was installed on Nelson's Monument, designed to be visible from the port of Leith. The ball was controlled by electrical pulses from the observatory clock.

Adam Wilkinson, director of Edinburgh World Heritage, said: "We are delighted to be supporting Collective and their plan to transform the City Observatory.

"These buildings are of national and international significance, and it is especially appropriate that they will be open to the public next year - the 250th anniversary of the first New Town.

"We have invested significant funds in the conservation of other monuments on Calton Hill over the last ten years and are pleased to support these works which form the final piece of the jigsaw."

Kate Gray, director of Collective, said: "The support of Edinburgh World Heritage is crucial to the success of this project, both in terms of financial support and conservation expertise.

"We are now in the final stages of fundraising and are still seeking donations to make our vision a reality."

Councillor Richard Lewis, convener of the city council's culture and sport committee, said Calton Hill and the observatory had "profound significance" for Edinburgh and Scotland, in both cultural and scientific ways.