Supermarket giant Morrisons is objecting to budget rival Aldi opening a new store as part of the £150m transformation of the city’s former Goodyear site, it was revealed today.

Food store giant Aldi wants to open a new budget chain on the famous 85-acre Goodyear factory site, off Stafford Road, as part of its transformation into a housing and leisure facility. The new store, which would be 2,019 sq m and have 93 parking spaces, would sit inside a ‘neighbourhood centre’ which would be home to four other smaller retail units.

Consultants White Young Green claim a food store is ideal for the site.

But a report to Wolverhampton City Council’s planning committee reveals rival supermarket giant Morrisons – which has stores in Pendeford and Bilston – has objected to the move, claiming Aldi has “not demonstrated a need” for the proposal. It claims there are already enough supermarkets in the city.

It states: “Aldi considers that the north of Wolverhampton is well provided for in terms of convenience stores. It believes that the store would have a detrimental impact on defined districts and local centres in Wolverhampton.”

Outline plans for the redevelopment of the Goodyear site have already been approved, and more detailed proposals will now go before the council’s planning committee for a decision.

Developer St Modwen, which is behind the scheme, had originally wanted to create a 600-home development as one of the first phases of the project but has now said it plans to create the retail element first due to the crisis in the construction industry caused due to the economic downturn.

Despite news that Morrisons is objecting to the plans, council officers have recommended that planning bosses approve them.

The report states: “It is anticipated that the scheme will be a catalyst for the continued regeneration of the city and kickstart the wider development by making it more commercially attractive to housebuilders.”

The plans for Goodyear include a new school to replace Oxley Primary and a 16-acre public park.