Cheshire West and Chester Council has abandoned its ambition to start work on the £300m Northgate Development in 2018.

The news was broken to city centre businesses at a meeting of CH1ChesterBID held at Chester Town Hall on Tuesday.

This further slip in the time-scale comes after House of Fraser pulled out of delivering the flagship store within phase two of the regeneration project as part of a rescue deal that will see the retailer close 31 stores.

Now the ambition is to begin work in 2019 on phase one, which would be based around a restaurant hub in the old library, a new market hall set in a civic square and with a cinema above. Phase one was due to have been completed in 2019.

However, everything is still dependent on being granted a Compulsory Purchase Order by government to move the market, buy up 70 plots in the development area and ‘stop up’ various roads. A decision is expected within weeks.

Cllr Brian Clarke, cabinet member, economic development and infrastructure, said: “Throughout the planning process we have been consulting with local businesses, including Chester BID members this week to keep them informed as the project progresses and hear their suggestions and any concerns.

Cllr Brian Clarke
Cllr Brian Clarke

“The meeting heard that work on site may be early 2019 but timings couldn’t be confirmed until the outcome of the Secretary of State inquiry was received.

“Following the unfortunate withdrawal of House of Fraser, we are reflecting on the impact this may have on the scheme and we are continuing to engage with interested parties as we have done all along.”

Carl Critchlow, manager at CH1ChesterBID, said after the meeting: “On behalf of our members – Chester’s city centre businesses – we arranged this meeting with Cheshire West and Chester Council to find out more about the proposed Northgate Development following the recent news that House of Fraser will no longer be the anchor store for the scheme.

BID manager at CH1ChesterBID Carl Critchlow

“It’s our responsibility as a Business Improvement District (BID) to ensure our members are kept fully informed on developments like this one, and this was an opportunity for the council to provide some reassurances about its future and for our businesses to question what comes next and when.

“Obviously we’re still waiting to see what the decision will be from the Secretary of State with regards to the Compulsory Purchase Order (CPO), but what’s clear from the meeting is that there’s still a lot of work to be done, including decisions around the mix and phasing of the scheme, which is still under review.

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“This development will have a significant impact on the economic vitality of our city centre so it’s vital that we get this right. We need a development for Chester that will enable the city to thrive, so we’ll continue to make sure the voice of Chester’s business community is heard whilst the review goes on in the months ahead.”