The 500 pound World War Two device was picked up during dredging work.
Boost For Bournemouth Economy
The first seaside areas successful in bidding for government funds to boost their economies have been announced with the biggest award going to Bournemouth.
The borough council there will receive £2 million over two years to create Europe's first National Coastal Tourism Academy.
Funds will also support coastal tourism businesses. The project aims to create 165 tourism jobs over three years in Bournemouth and 2,100 nationwide.
The money for the six schemes in England comes from the £24 million Coastal Communities Fund launched earlier this year and further projects will be announced over the coming months.
The fund will be increased to £28 million next year, Communities Secretary Eric Pickles said.
"There is huge potential in our coastal towns that goes way beyond them only being places we visit for seaside day trips and holidays," Mr Pickles said.
"We are seeing opportunities being developed all the time by new industries and the Government is determined to help our coastal towns make the most of them.
"This money will help those towns tap into these enterprises and create the skills and jobs that will benefit the whole community.
"We cannot afford to waste this chance which is why the Government is committed to increasing the fund next year."
640 men were killed when the South African troop carrier was hit by a cargo ship in 1917.
The 79-year-old man suffered a serious head injury in the Cranmer Road car park in Winton.
Two Girls Indecently Assaulted Last Sunday
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