Co-op store sale is proof that Ludlow doesn't need another supermarket, says MP

Philip Dunne said he was "disappointed" that the Co-operative group has sold its Ludlow store and withdrawn from the town.

But he claimed it was proof that the town did not need a new out-of-town supermarket and petrol station.

The plan for a new store at Rocks Green next to the A49 bypass has been on the table for 18 months but is still in limbo awaiting permission from Shropshire Council.

The current Co-op store on Upper Galdeford will continue to trade as a Budgens supermarket and no jobs will be lost following the announced sale of 36 former Somerfield sites by Co-operative earlier this week.

Mr Dunne said he was grateful that Co-operative had made it clear all employees will transfer to the incoming business, including the 35 employees currently working in the Ludlow branch. But it was still not a good sign that Co-operative had felt the need to go, which he said spoke volumes about how unnecessary plans were for a further supermarket at Rocks Green.

Mr Dunne said: "I am disappointed that Co-op has decided to withdraw from its store in Ludlow, but am pleased that a buyer has been found that will continue to trade the store as a Budgens food retailer.

"It is good to remove uncertainty for staff that there are no planned redundancies for employees.

"While it is good for local residents that the current diversity of food retailers will remain in Ludlow, this move shows that the food retail market in town is already saturated, presumably playing a part in Co-op's reasons for withdrawal.

"This suggests Ludlow does not need another food supermarket, as a developer has planned on a speculative basis at Rocks Green beyond the A49, with no retailer lined up to occupy.

"The Co-op's decision reflects the existing competitive challenges town centre traders are facing, which would only be compounded were an out-of-town supermarket retailer to be allowed," he said.

Plans by developer Blackfriars for the 25,000sq ft (2,322sq m) store and petrol station at Rocks Green have been hit by a string of delays and setbacks, most recently a call from Highways England for more information about how the new store would affect traffic on the A49, which has now been met by the company.

Ludlow also has Tesco and Aldi supermarkets, plus multiple smaller convenience stores.

The Co-operative group has agreed to sell 36 stores, including its branches in Ludlow and Newport, to The Food Retailer Group, part of retail investor Hilco. The stores are expected to become Budgens supermarkets, with completion expected to take place in July.