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Plans for new Lidl supermarket in Highland capital will not adversely hit vitality or viability of city centre, says report


By Val Sweeney

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Lidl is carrying out a community consultation for plans to build a new supermarket near Inshes roundabout.
Lidl is carrying out a community consultation for plans to build a new supermarket near Inshes roundabout.

A proposed new supermarket in Inverness would not adversely hit retail in the city centre or other nearby retail parks, developers maintain.

Lidl wants to develop a food store and up to 38 homes on a greenfield site in Sir Walter Scott Drive, Inshes.

Concerns have been raised by council planning officers who say the proposed retail development would be against the proposed Inner Moray Firth local development plan while supermarket giant Asda has lodged an objection citing various reasons including the retail impact.

But a detailed report now submitted in support of Lidl’s planning application contends that the proposed store – along with retail floorspace proposed as part of the Stratton development in east Inverness – will not adversely affect the city centre or other nearby retail parks and local centres.

While it acknowledges the direct impacts might seem high, it maintains retail turnover in the next few years would be stronger for most existing centres given strong local population, expenditure and market growth, linked to significant new housing development in east and south Inverness.

The indicative cumulative retail impact assessment (CRIA), carried out for Lidl following a request from planning officers, looks at the combined impact of its proposed food store plus retail floorspace proposed at Stratton where the go-ahead has been given for 2500 new homes plus other developments.

The report notes there is considerable uncertainty regarding the scale, form, content and timing of the retail floorspace at Stratton so the assessment – which has adopted a test year of 2027 – must be considered to be indicative.

It concludes: “The CRIA has identified that, although direct impacts in 2027 (ie with development proposals in 2027 compared to without the development proposals in 2027) could appear relatively high, these are occurring in the context of very strong local population, expenditure and market growth, linked to significant new housing development in both east and south Inverness.

“As a result of this, overall cumulative impacts are minimal and, for most existing centres, total retail turnover would be higher in 2027 in real terms compared to 2021.

“Reflecting this, the CRIA concludes that the cumulative retail impacts arising from both the proposed Lidl foodstore and Stratton development proposals will not adversely affect the vitality or viability of either Inverness city centre, the lnshes and Inverness retail parks nor any local centre.”

It acknowledges although direct retail impacts on the city centre may appear relatively high (down by 11 per cent for convenience goods, eight per cent for comparison goods and nine per cent for all goods) the real change in turnover following the development of both Stratton and Lidl would be a reduction in city centre turnover of only one per cent for all goods.

It identifies direct retail impacts on the lnshes retail park as being relatively high (down 14 to 15 per cent) for Aldi and Tesco but low for comparison goods units (down three per cent) – down by 11 per cent overall.

But it continues that lnshes Retail Park benefits enormously from the rapid population growth in its prime market area.

“As a result of this market and turnover growth, the true cumulative impact is only down one per cent for convenience goods and up 22 per cent comparison goods (ie strong growth) and, combining these together, the lnshes retail park is expected to increase turnover by six per cent for all goods even after the trade diversion to the proposed developments at Lidl and Stratton,” it states.

It states the true cumulative impact at Inverness Shopping Park is down eight per cent for convenience goods and up 24 cent for comparison goods and increased turnover of five per cent for all goods.

Direct impacts at the Slackbuie local centre – where Asda is located – estimate a decrease of 12 per cent.

But the assessment says that taking into account strong growth in the market area served by the superstore the store would have marginally higher turnover in 2027 compared to 2021 despite trade being diverted to the proposed Lidl and Stratton plans.

Supermarkets at loggerheads over plans


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