COUNCIL chiefs are confident they can salvage their economic masterplan, despite it having been rubbished by an independent assessor.

Durham County Council bosses were left shocked last month when Planning Inspector Harold Stephens slammed their County Durham Plan (CDP), which aims at 31,400 new homes and 30,000 new jobs by 2030, as flawed, unrealistic and unsound.

Mr Stephens, who published his interim report having led a six-week public inquiry last autumn, appeared to leave the Labour-led authority with virtually no option but to ditch the ambitious growth strategy and go back to the drawing board.

However, Councillor Neil Foster, the council’s cabinet member for economic regeneration, has now held out hope for a positive outcome.

After planning minister Penny Mordaunt backed the CDP’s ambitious approach, Cllr Foster said: “The legal advice we have received further underpins our belief that there is every reason to believe we can find a resolution to this matter by working with the Planning Inspectorate and Government.”

In a letter to Sedgefield MP Phil Wilson, Ms Mordaunt said: “The Inspector’s interim findings do not mean that County Durham should be less ambitious, but rather the council needs to do more to evidence that their strategy is the most appropriate compared against reasonable alternatives.”

The council will make its case direct to the Planning Inspectorate in talks planned for next week and hopes to soon secure a meeting with George Osborne, the Chancellor having promised to intervene during a visit to Stockton last month.

No date has yet been agreed, but Cllr Foster said he was looking forward to “a timely meeting” – as well as exploring other opportunities.

The CDP envisages Durham City becoming a boom town, with 5,000 new homes, two bypasses and a world-class business hub at Aykley Heads.

It is fiercely opposed by environmental campaigners, who say it is way over the top.

Mr Stephens’ shock report has been followed by weeks of frantic lobbying, high-level talks and a public show of support from business leaders including former Newcastle United chairman Sir John Hall, who secured the Chancellor’s pledge.

Yesterday (Monday, March 23), Liberal Democrats on the council said neither Mr Osborne nor Sir John should interfere with the “democratic process”.