A hotel that was to be flattened to make way for homes has received a temporary stay of execution.

Plans to demolish the White Horse Hotel, in North Road, Darlington, and replace it with a flats development provoked a public outcry.

Darlington Borough Council granted planning permission to Premier Homes (UK) Ltd for the scheme last November.

Nearby residents protested against the proposal and forced the local authority into calling a parish referendum on the issue.

And it emerged last night the hotel hoped to stay open for at least another two years, as building work does not need to begin for three years.

White Horse manageress Sue Bennett said: "It's nice to still be here - we're absolutely delighted to be staying open."

She urged customers to come back, as they hoped the hotel would be open for at least two years and perhaps longer.

She said: "People think we are just about closed down when in fact we're still running the business as usual. We want to remind people we're still here and still operating."

Plans are under way to develop the hotel's interior, including refurbishing some of the bedrooms, in a final attempt to keep it running.

Ms Bennett said: "There's going to be one final push to make the hotel work and, if it's successful, we might not have to close after all."

Those against the demolition formed a campaign group called Save the White Horse Hotel.

In January, the group forced a parish referendum - with 400 people voting, 391 of which were against the demolition of the pub.

Gill Cartwright, who helped spearhead the group, said the latest development did not make any difference to their views, they were still against the demolition.

"Whether they demolish the pub now or two years down the line doesn't change how we feel. It's still being demolished and made into flats at the end of it," she said.

Yesterday, Darlington Borough Council said it was up to the hotel to choose when to close. The developers' agent declined to comment.