MYSTERY continues to surround the future of a plot of land near Barnard Castle town centre.

Council and supermarket chiefs are keeping tight-lipped over the latest developments in an on-going dispute over the potential store site, which has been at the centre of a bidding contest.

It is believed that Teesdale District Council is currently considering an offer from supermarket chain Safeway for the controversial plot of land.

The site has been the subject of intense negotiations since Safeway initially showed interest in buying it.

But the situation concerning its future appears as unclear as it did some two years ago, when discussions started.

Whether or not the site is developed as a supermarket could be a key issue in the town's future as a shopping centre.

Safeway initially offered £80,000 for the land, but consultants David Alcock and Partners have put in a bid of £150,000, which the district council accepted in July.

The Safeway chain this week confirmed it had made a fresh offer, which is believed to be worth £160,000.

A special meeting of the district council is thought to have been discussing the bid on Wednesday morning, but, it was closed to the Press and public.

Sources close to the deal have told The Northern Echo the council is moving towards accepting the new Safeway offer, and a full statement on the issue is expected to be made in the near future

But, town and district councillor John Hinchcliffe said the meeting was concerned with legal issues surrounding the situation, and that nothing was any clearer.

The district council's chief executive, Charles Anderson, said he was unable to make any comment on the situation. Although he confirmed there would be a statement, he declined to say when it would be made.

Safeway spokesman Peter Sitch said he, too, could not comment at this time, referring any queries back to the local authority.

Staindrop businessman Brent Stephenson said he still plans to go ahead with a public meeting on the issue at Witham Hall, Barnard Castle, next Thursday, to discuss the retail situation in the town, particularly the supermarket wrangle.