A MULTI-million pound new supermarket for Bromsgrove has been cast into major doubt after a review was announced.

Sainsbury's received planning permission for a 45,000 square foot store at Bromsgrove Retail Park, in Birmingham Road, in 2010.

In September the Advertiser reported on the opening of WHAT! Stores at the site, and the granting of a five year lease to current tenants the Co-operative Food supermarket.

Bromsgrove District councillor Rita Dent, the portfolio holder for the town centre, has previously said that the authority has received written confirmation that the supermarket is committed to building on the retail park site.

And the supermarket has continually reaffirmed its commitment when questioned by the Advertiser. In a September statement the firm said that although not on its construction programme for the next 15 months, it hoped to be able to release schedule details "as soon as possible".

But last week Sainsbury's revealed it is now looking at reining in plans for new stores nationally after announcing half-year losses, before tax, of £290 million, and a fall of 2.1 per cent on like-for-like sales.

As a result it has been reported around 40 planned supermarket developments across the UK will not go ahead.

The Advertiser contacted the firm for clarification on the future of the proposed town store.

In a new statement, the firm's spokesman said: "We are reviewing our plans across a number of supermarket sites including Bromsgrove.

"Once we are in a position to do so, we will update people on our future plans.”

Under the plans, the supermarket giant was to foot the bill for improvements to the vehicular and pedestrian access to the site, from town centre, including The Strand and Birmingham Road and the Parkside crossroads junction.

A commitment was also made to spend £500,000 on town walking and cycling schemes and the monitoring of air quality in Birmingham Road.

Leader of the Labour group Luke Mallett said: "This is more potential bad news for our town as much of the improvements to key junctions and the Strand area are to be paid for by Sainsbury's money.

"I would like to know when the council leader or other cabinet members last met with Sainsbury's representatives?

"There is millions at stake with this deal and I fear the cabinet have been complacent and had their eyes off the ball, pretending there was not a problem with this site, despite longstanding doubts.

"I'd urge the leader to get round the table with Sainsbury's now to try to rescue this deal."

Council leader Margaret Sherrey said: "Sainsbury’s are reviewing their entire national programme which automatically includes Bromsgrove.

"I can assure our residents we are still working with Sainsbury's but external economic forces are out of our control, which I am surprised Cllr Mallett isn’t aware of.

"This is another example of blaming us for something that actually is part of the hangover from the last Labour Government and its incompetent book-keeping.”