Confusion surrounds why a controversial nightclub is pledging to trade until 3am despite losing a landmark High Court bid to challenge a cut in its opening hours.

Funky Mojoe, in High Street, South Woodford, last week failed to persuade a judge to grant a judicial review into a council decision to restrict opening times due to crime and anti-social behaviour.

But licensee Kerry O’Reilly announced last week that the venue would stay open until 3am on Sunday, promising a “whole new concept”, after meeting licensing experts.

Redbridge Council has confirmed it has not issued a temporary license and has reminded the owners that the club must shut at 11.30pm.

A council spokesman said: “The courts have upheld the council’s decision that all licensable activities at the premises must cease at 11pm Sunday to Thursday and by 11.30pm on Friday and Saturday.

“The council has reminded the operators of the club of the conditions of its licence and the consequences of any breaches of these.

“The council will continue to monitor the situation closely.”

Funky Mojoe is expected to reveal further details at midday.

As well as being denied a judicial review, the nightclub was ordered to pay the council’s legal costs of £127,000 and denied the right to appeal.

It was the first time the High Court had ruled on a nightclub’s license.

However, the venue is challenging an initial district judge’s decision to uphold the council’s decision to cut hours.