A battle between Tesco and council officials over a city centre site in Sunderland has cost taxpayers more than £2m.
Council plans for the former Vaux brewery site were supposed to create 3,200 jobs and bring in £370m in investment. Ten years after the brewery closed, the 16-acre site is still derelict.
Meanwhile, Sunderland Council's regeneration company, Sunderland Arc, has spent more than £2m trying to develop the site - including nearly £500,000 in legal fees resisting Tesco's plans for a superstore on the site, which the retailer owns.
The figures, revealed under the Freedom of Information Act, have provoked an angry response.
"I think the Arc proposals represent a much better development for the people of Sunderland and I would like to see work under way as soon as possible," said north east Conservative Euro MP Martin Callanan.
"However, Tesco seems determined to use its considerable financial and legal muscle to frustrate the proposals and its delaying tactics have incurred most of this bill for taxpayers."
David Walker, chief executive of Sunderland Arc, said: "The stark choice for the city was 600 jobs from the store or at least 3,000 high-quality jobs. We always felt this was worth fighting for."
Tesco bought the site for £13m in 2001 with the intention of building a 110,000 sq ft superstore, alongside other shops and homes. But the plans were opposed by Sunderland Arc, which claimed the superstore was too big and wanted more of a mixed development.
In 2006, after a public inquiry, the Government approved Sunderland Arc's plans, which include shops, homes, offices and a court. Tesco is taking legal action in the High Court in a bid to overturn the decision.
"We are reviewing our plans but are still committed to a mixed use development on the Vaux site, including a Tesco," said a Tesco spokesman.
Sunderland Arc has warned it may seek a compulsory purchase order.
Council plans for the former Vaux brewery site were supposed to create 3,200 jobs and bring in £370m in investment. Ten years after the brewery closed, the 16-acre site is still derelict.
Meanwhile, Sunderland Council's regeneration company, Sunderland Arc, has spent more than £2m trying to develop the site - including nearly £500,000 in legal fees resisting Tesco's plans for a superstore on the site, which the retailer owns.
The figures, revealed under the Freedom of Information Act, have provoked an angry response.
"I think the Arc proposals represent a much better development for the people of Sunderland and I would like to see work under way as soon as possible," said north east Conservative Euro MP Martin Callanan.
"However, Tesco seems determined to use its considerable financial and legal muscle to frustrate the proposals and its delaying tactics have incurred most of this bill for taxpayers."
David Walker, chief executive of Sunderland Arc, said: "The stark choice for the city was 600 jobs from the store or at least 3,000 high-quality jobs. We always felt this was worth fighting for."
Tesco bought the site for £13m in 2001 with the intention of building a 110,000 sq ft superstore, alongside other shops and homes. But the plans were opposed by Sunderland Arc, which claimed the superstore was too big and wanted more of a mixed development.
In 2006, after a public inquiry, the Government approved Sunderland Arc's plans, which include shops, homes, offices and a court. Tesco is taking legal action in the High Court in a bid to overturn the decision.
"We are reviewing our plans but are still committed to a mixed use development on the Vaux site, including a Tesco," said a Tesco spokesman.
Sunderland Arc has warned it may seek a compulsory purchase order.
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