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The future of Blackburn's £250m town centre regeneration masterplan has been thrown into question after Morrisons announced that it will now not move to its proposed new site.
The supermarket was due to build a new home on the former Thwaites brewery site but, citing rising construction costs, has said that it will instead stay at its current location.
The area that would have been vacated by Morrisons was earmarked for new, low carbon apartments. The decision also means Blackburn with Darwen Council must find a new use for the town centre space.
Coun Phil Riley, leader of the council, said: “This is obviously disappointing. We have been working on this particular project for some years. It is a blow to the masterplan but not a terminal one. We now need to rejig it."
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