A COMPULSORY purchase order has been issued on six established businesses in Stanley town centre as part of a £16m regeneration scheme.

Derwentside District Council is forcing the owners of three properties on Front Street to sell up to give the town a facelift.

It will pay the market value plus compensation for relocation then spend a further £500,000 demolishing the buildings.

The idea is replace the narrow alley between the buildings with a plush new walkway, connecting the Front Street to a new modern bus station.

But established firms fear what effect the move will have on their trade.

Rob Craig, proprietor of Tattoo Studio, said he had been offered just £800 for the remainder of his lease, which ends in May.

He said: "It is abysmal. The last thing I want to do is move out.

"I do a lot of big jobs, which takes far more than one session, so people have stopped coming because they think we are moving."

"Stanley does need regenerating but what the council is doing is putting a sticking plaster over something that needs major surgery."

Mr Craig said the compensation he was being offered would not cover the costs of relocation, fresh advertising and building up a new client base.

As well as the Tattoo Studio, the order will affect Willow Burn Charity Shop, NS Bennett Chartered Surveyors and Estate Agents, Provident Personal Credit, The Northern Echo and Consett and Stanley Advertiser and William Hill.

A spokesman for William Hill said: "It is disappointing to have to move from a tried and tested location in the town centre, especially when we recently had it refurbished.

"Fortunately we managed to find premises further down the street in plenty of time."

Stephen Bennett, owner of NS Bennett, said he was surprised the council had issued orders when negotiations between it and the businesses affected had just started to try and reach agreement on the sale of the properties.

"We have bought another building on the other side of Front Street. We will have a new, all-singing, all-dancing, high-tech office.''

Coun Alex Watson, leader of Derwentside District Council, said the buyout was essential.

He said companies would be given a fair price for their properties and given help to find new premises.

Coun Watson said: "It is not without sadness that we do this and it is not something we relish.

"It is not a decision that was taken lightly but the town centre needs regenerating for all of the businesses in Stanley town centre."