O2 to keep naming rights for former Millennium Dome

Mobile phones giant O2 on Thursday secured its partnership deal with the Millennium Dome live events venue for another decade for up to £125 million.

It was the first corporation to sponsor the venue after the Labour government’s widely ridiculed project. But the O2 arena has become one of the capital’s main live venues.

The deal marks a significant increase on the £6 million-a-year contract O2 reportedly had for the first 10-year partnership with US live events giant AEG to run the Dome.

Following the success of the venue, where Little Mix’s Leigh-Anne Pinnock performed at the Brits last night, it is believed O2 renewed at around £12.5 million a year.

News of the agreement came as O2’s parent, Spanish telecoms group Telefonica, delivered a 14% rise in 2016 profits to €15.2 billion (£12.8 billion) and cut its debt pile.

Telefonica could sell or float O2 this year.