A BUSINESSMAN has dropped his legal challenge to a council's planning approval of a controversial Durham night spot.

Steve Anderson, a director of Caf Rock Ltd, was seeking a judicial review of Durham City Council's decision to allow Regent Inns to convert the Robins Cinema in North Road into a Walkabout Australian theme bar.

Mr Anderson, whose firms used to own the Caf Rock and DH1 night clubs in North Road, claimed there were procedural errors and that councillors were not given full information - claims the council rejected.

Mr Anderson sought a review of the approval of the second application Regent Inns submitted in the hope of avoiding the lengthy delay a review could create.

But after approval of a third application he dropped his challenges.

Mr Anderson, whose firm now owns the Travellers Rest pub in Claypath, said: "I feel I have made my point. I have my views and they are well documented.

"Durham will change and there will be more pubs but there needs to be an infrastructure in place to help it grow instead of having every man and his dog doing what they like.

"I might have carried on if I had had an open cheque book but if I'm going to throw good money after bad I'd rather give it away.''

A report to councillors says: "Following the grant of a third planning consent for the premises the applicant determined to discontinue their judicial review application.''

It adds that the council's costs - it instructed a barrister - would be paid by the applicant.

The 700-capacity pub has planning permission and an entertainment licence despite opposition from police and residents concerned about late-night disorder.

The firm is appealing against the refusal of its drinks licence