A MULTI-million pound scheme aimed at regenerating a rundown housing estate has finally received the go-ahead.

The redevelopment of Parkside, in Seaham, has been held up for more than a year following a public inquiry.

But this week Deputy Prime Minister John Prescott overruled objections from a few residents who opposed demolition orders and the necessary stopping up of roads.

Following the confirmation of its proposals, Easington District Council will now be in a position to negotiate the compulsory purchase order of land and property on the estate.

It will allow the construction of 170 homes by Persimmon Homes.

The Parkside area has been in decline for years and was the least popular council estate in Seaham. Many of the homes were empty, others were rundown and declared uninhabitable.

Several options were considered for the estate but the most promising for Parkside came when Easington secured a £4.69m share of the £26.25m countrywide bid for Government Single Regeneration Budget funds.

Residents were told the scheme would attract a further £11m from the private sector and £6m from public funds.

The council warned that without the demolition of 200 homes on the estate and the introduction of private investment, it would be unable to afford the extensive upgrade of the remaining council properties.

The upgrading scheme was welcomed by most tenants but a small number of objections about the compulsory purchase orders prompted the public inquiry last April.

This week Mr Prescott announced that he was satisfied that the regeneration programme should go ahead as detailed.

Peter Coe, Easington council's head of regeneration, said: "We will be contacting residents who are still living at Parkside to try and work with them to reach a solution that is agreeable to all parties."