RETAIL giant Tesco wants to build a new superstore in Coleford.

The supermarket chain looks set to spark store wars in the town by building next to its old rival the Co-op .

Tesco has already been in discussions with the district council over the proposed 10,000sqft store.

Now they are poised to consult with the public before putting in a planning application for land adjacent to Pyart Court.

The planned store will probably be smaller than the one that sparked a bitter supermarket war in Cinderford and around the same size as the current Co-op.

The land is owned by Coleford developer Clive Bath of Dean Properties who has been in talks with Tesco bosses for around 12 months.

He says rumours that the shopping centre at Pyart Court will be demolished are unfounded and Tesco will build on a parcel of unused land and only sell foodstuffs.

"I think it will be excellent for the town," he said.

"A study by Southampton University shows that when a supermarket opens in a small town, the town benefits because trade goes up by 30 to 40 per cent.

"At the minute Coleford loses out to Monmouth and Ross-on-Wye, so having Tesco will be a big advantage."

Coleford Mayor Sue Merrikin met with a mixed reaction when she told town councillors the news this week. The town already has a Co-op, a Harry Tuffins and a Tesco Extra.

Author Andrew Taylor who lives next to the proposed development said: "I am very concerned about the effect this will have on small traders. We have some very good local shops in Coleford and it will have a huge impact on them. The whole shape and texture of the town could change."

Cabinet member for economic regeneration, Councillor Patrick Molyn- eux, said: "We will wait to see what is put forward and then look at the proposals and the long term benefits for Coleford."

Spokesman Sophie Akokhia said Tesco would be consulting the community and an exhibition was planned within weeks.

She said: "I am able to confirm that we are working alongside local businessman Clive Bath to develop plans for a custom designed Tesco foodstore in Coleford."