Sainsbury's will be asked to help struggling Shrewsbury businesses

Supermarket giant Sainsbury's will be asked to stump up cash to help promote struggling businesses in Shrewsbury town centre under a deal to expand its store in the town, officials said today.

John Hall, chairman of the Shop in the Loop organisation in the town centre, said his group was still locked in negotiations with the supermarket but were hopeful of a deal being reached by next Thursday.

A planning application to expand the store in a move which could create up to 70 jobs was deferred last month by councillors who wanted Sainsbury's to pay out more in a Section 106 legal agreement.

This will include cash for marketing businesses in the town centre as well as subsiding buses in the area.

The plans are due to go back before Shropshire Council's central planning committee next Thursday and are recommended for approval by officers.

Mr Hall said he believed an agreement would be reached between Shop in the Loop, Destination Shrewsbury, and Sainsbury's and the plans would be approved at the meeting. He said: "There is an offer and we are still talking to Sainsbury's but I think we will have something agreed next week."