PLANS to create a £5 million hotel on the former steelworks site in Consett have been revealed.

It is hoped the scheme, next to McDonald’s on Genesis Way, will create 70 jobs and be taken on by a well-known hotelier.

If it goes ahead, the proposal is expected to have 50 bedrooms and a function suite as well as conference facilities.

It is understood the plan is being developed by Project Genesis, the trust formed to regenerate claim the former industrial area, following the closure of the steel plant in 1980, on behalf of a private developer.

Durham County Councillor Alex Watson, who acts as an advisor for the organisation, said: “It is a tremendous statement of confidence in the town.

“We are talking 70 jobs here and £5 million of investment.

“It has already boosted the economy because there is a lot of interest coming in from various quarters, the local business sector, mainly because there is a conference suite.”

It is not yet known which hotel chain is being lined up to take over the development, but a consultation event next month is expected to have more details about the plan.

Coun Watson added: “It will be a good venue and will not be a budget hotel. It will be a reputable one.”

It is understood a formal planning application for the Ponds Court scheme has not yet been submitted to Durham County Council, but will be shortly.

The plan is then expected to go to committee in the next few months, and, if approved, work will be carried out by Dysart Developments.

Durham County Councillor Owen Temple said: “If we had more beds people would use the town more.

“There is quite a lot of tourist potential around and we are short of beds.

“If there is a visiting business, or anything like that, then there isn’t much available.

“It will be good and every new development helps what is a growing town. I am pleased to see Consett in that category when many others in County Durham struggle.”

A community consultation ‘drop-in’ session on the forthcoming application is being held in the reception of Derwentside College, near the proposed site, on Thursday, February 2, from 3.30pm-7pm.

Large scale drawings of the hotel plan will be available for viewing.

Pat Glass, MP for North-West Durham, said: “On the face of it, it sounds like a natural development for Consett, which is a thriving town.”