THE former school of actor Stan Laurel has been saved following a campaign to preserve the fireravaged building.

Members of Durham County Council's cabinet met yesterday to discuss the future of the 143- year-old former King James I Grammar School, in Bishop Auckland, County Durham.

The authority is the sole member of a charitable trust that owns the building, and officers had prepared a report on the future of the site, which was damaged by arsonists earlier this year.

It was decided that the building would be sold and, much to the delight of campaigners, it will not be demolished.

It could instead be used as the headquarters for the newlyformed Bishop Auckland Town Council, office space or as a mining museum.

Proceeds from the sale of the building would be used to set up a permanent charitable endowment for local youngsters.

Lesley Davies, the county council's acting director of corporate services, told the cabinet that emergency work to make the building safe had been carried out since the arson attack last March.

She said extensive survey work was still being carried out to determine the full extent of the damage and cost of repairs.

She said that although insurance would help to cover the cost of its restoration to "reflect its original use and configuration", the cost of equipping the building would need to be met from other sources.

"Interest in the possible sale of the building has been expressed by a number of parties, including Wear Valley District Council, Bishop Auckland Town Council and the Bishop Auckland Civic Trust," she said.

"Any future use of the building would be subject to planning consent, but uses could include its conversion to offices or residential accommodation.

"The trustees would be required to advertise the property on the open market to fulfil its obligation, under the terms of the trust, to secure the best price reasonably obtainable, but such changes in use would enable the trustee to maximise the capital receipt received from the property and the permanent endowment available for charitable purposes.

It would also help to secure the future of the building."

Consultation with agencies about alternative uses for the building, and negotiations with insurers, will continue.

Mayor of Bishop Auckland, Barbara Laurie, who is chairwoman of Bishop Auckland Town Council, said: "I am delighted that the building has been saved from being demolished and I trust that the town council stands as good a chance as anyone at obtaining the building.

"It is more than just a building to the people of Bishop Auckland."