A DISCOUNT food retailer has announced it is looking at opening a new store in a north Durham town centre.

News that Aldi has confirmed its interest in Stanley has been welcomed after Tesco revealed its long-awaited development has been scrapped.

Earlier this month the leading supermarket announced it will no longer be building on the Clifford Road site it owns, scuppering 250 job opportunities.

Aldi, the German chain, is said to be looking at several sites in the town, but would not confirm rumours it has bought the former bus station, near Asda, and the former Co-op site on Front Street, which was destroyed by a firebomb attack in 2008.

An Aldi spokesperson said: “Aldi are actively looking at sites in Stanley in the hope of bringing an Aldi store to the area and creating jobs for the surrounding communities.

“We look forward to bringing retail choice to Stanley and providing shoppers with high quality products at everyday low prices.”

Aldi employs around 14,000 people in the UK with more than 500 stores and the recent increase in the popularity of discount supermarkets is widely viewed as one of the reasons behind the falling profits at more established brands like Tesco.

The announcement has been welcomed by Stanley Town Councillor Christine Bell, who is chairman of the Stanley Traders’ Association.

She said: “I would love to see Aldi come. It is excellent news. We welcome them at the top of the street or at the old Tesco site. It would encourage other businesses to go alongside them.”

Cllr Bell and Cllr Joyce Charlton, who sits on the town council as well as Durham County Council, have called for action to be taken on the Clifford Road site.

The Tesco superstore on the land has been discussed since 2009 and was granted planning permission in 2011.

But concerns have been raised that the land is in a state of disrepair and is an ‘eyesore’ for people in the town centre.

Tesco has said it will meet with the councils as well as North Durham MP Kevan Jones to discuss the future of the site.

Sarah Robson, Durham County Council’s head of economic development and housing, said: “We are aware of Tesco’s announcement and appreciate that the sites in question form an important part of the regeneration of our towns.

“We will continue to work with Tesco to secure a long term future for the sites which supports and enhances our town centres.”

Aldi would not comment on whether the Clifford Road site is among those it is considering.