A TOWN centre pub is at the centre of a compensation claim over the effects of construction work on a £43m shopping centre.

Bosses at one of Teesside's oldest pubs claims to have suffered a loss of trade, disruption and damage to the building.

Stockton's Georgia Brown's bar, the fabric of which is about 200 years old, is being supported by scaffolding after a large crack appeared in the entrance following demolition of adjacent properties.

The pub sits at the Dovecot Street entrance of the emerging Wellington Square shopping complex.

Bar manager Neil Sinclair and his employers, Scottish and Newcastle Breweries, have lodged a claim for compensation from the shopping centre's developers and are seeking a business rate rebate from Stockton Borough Council.

They say the demolition work is responsible for damage to the building and claim trade has been lost because people thought the scaffold-covered pub was closed.

But despite the current problems Mr Sinclair predicts Georgia Brown's has a much brighter future because of the shopping centre.

And the brewery is planning a major modernisation, opening hotel rooms and a function room.

He said: "Many people thought we were closed because of the hoardings and demolition work, so we lost trade.

"I also had to close the kitchens many times because of the dust and the danger from demolition.

"The developers have been very understanding about the structural damage and have promised to put it right at their cost."

The shopping complex is due to open next Easter, and the bar will be part of it.

"I accept all the problems we've had with the building work are largely unavoidable and when Wellington Square is finished it will be the best thing for us and the town."

Lionel Danby, the borough council's redevelopment officer said: "Business rates are not set by the council, but the application for rate reduction will be considered. Any reduction would apply for a restricted period."

But Mr Danby warned that rates on the pub may go up eventually, if business at the shopping centre has a benficial knock-on effect.

Referring to the structural damage, Mr Danby said it was "relatively minor", caused by underpinning work.

No repairs will be undertaken until all of the building work on the shopping centre is complete