Sheftival will take place at the Don Valley Complex in Sheffield from 4-5 August, featuring live music, family games and food stalls for up to 50,000 ticket-holders.
Local radio station Real Radio is planning to bring some big names in pop music to the main stage, while organisers of the popular Tramlines Festival will present an alternative line-up on the JuJu Club World Music stage.
In addition, there will be live sports demonstrations and tournaments, acoustic stages, a carnival parade, fairground and a real ale trail. Live footage from the Games will be broadcast on a huge 48sqm screen.
Festival director Dave Healy said: "Most major towns and cities in England are celebrating the Olympics, but this being Sheffield, we wanted to give it a bit of a different flavour. We have invited some of the city's best festival and event promoters to come and put on a show, giving our Olympic celebration a true festival vibe.
"We expect to welcome people from South Yorkshire and beyond and have deliberately kept the pricing affordable. An Under 18s day ticket only costs £10 and if we do make any money, it will immediately be reinvested into the city's sporting and cultural events. It might not be the UK's biggest Olympics Party, but we reckon it will be the friendliest and the most fun!"
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