THE MULTI-MILLION pound redevelopment of a north Shropshire town centre has been scaled back in the wake of the crippling recession, it was revealed today.

The major revamp of Ellesmere Wharf has been downsized by developers. It means a planned creche and block of live/work units in Wharf Road have been shelved.

A sheltered housing block earmarked for the west of Birch Road has also become a victim of the recession and will be replaced with private housing units instead.

Fifteen public parking spaces behind a canalside pub have also been axed. Developers also want to scrap an agreement to deliver the project in phases, blaming the economy.

Despite the setback, Cheshire-based PB Developments, which is working at the 31-acre former Dairy Crest creamery site, has insisted it will deliver the remainder of the project. This includes 300 homes, a public square, car parking, a pub and restaurant, extended nature reserve and residential care home.

PB Developments has applied to Shropshire Council for permission to vary and remove some of the conditions which the old North Shropshire District Council set when it granted planning permission in 2006.

In a statement to planning officers, PB Developments’ agent Jon Suckley said: “The phase one road infrastructure and Tesco foodstore have been approved and implemented at the site.”

He added: “Since the approval of the outline consent, economic conditions have significantly declined, which has impacted on the timescales for delivering the housing development.”

He said a condition to build in phases is “highly restrictive”, calling for it to be dropped.

Mr Suckley said the next phase of work to begin is likely to be the care home and retirement apartments.

The development also includes a new medical centre, however as yet no funds have been allocated by county health chiefs.

Ann Hartley, Shropshire Council member for Ellesmere, said: “I think it’s encouraging that something is happening again because it has been a little bit dormant for the last year.”

By Tom Johannsen