Plans for a mile-high tower in the Saudi Arabian desert have been unveiled by the billionaire owner of London's Savoy Hotel.

At 5,250ft, the £5billion project, masterminded by two British engineering consultancies, will be twice as high as its nearest rivals, skyscrapers under construction in Dubai and Kuwait, and almost seven times as high as the Canary Wharf tower in London's Docklands.

It is being planned for a new city near the Red Sea port of Jeddah. Behind the scheme is 51-year-old Prince al-Walid bin Talal, who bought the Savoy for £1.25billion in 2005.

The plan gives the Middle East a clear lead over Asian countries and the U.S., who have vied in the past to construct the world's tallest buildings.

None of the other skyscrapers under construction, including New York's Freedom Tower on the World Trade Centre site, will exceed 2,296ft.