A SUPERMARKET chain has unveiled plans to build a new Hampshire store that will create up to 40 jobs.

Discount giant Lidl is proposing to redevelop part of a council-owned car park at St John’s Street, Hythe, resulting in the loss of 60 parking spaces.

The car park currently hosts Hythe’s weekly market, which is moving to other parts of the village in a bid to revitalise the attraction.

Neighbouring land owned by PC Builders is also included in the supermarket scheme.

Under the plan PC Builders will relocate to the Hardley Industrial Estate. The proposed new store will occupy part of its existing site and the rest will be used for housing.

Lidl is holding exploratory talks with New Forest District Council, which owns the 160-space car park.

It comes just three months after plans for a Lidl store on the Castle Trading Estate at Porchester were given the go-ahead by Fareham Borough Council.

As reported in the Daily Echo, the application had sparked more than 1,000 letters of support from people living near the site.

The proposed new Hythe store will be virtually next door to the Waitrose supermarket.

A district council report says: “Locally there has been a long-held aspiration to increase food retail provision within Hythe.

“A retail impact assessment commissioned by the council concluded that additional discount food retail provision in the village would strengthen rather than harm the vitality and viability of the centre.”

The report says the St John’s Street car park is usually half-empty and the least used parking facility in the village.

It adds: “The market has been struggling and the district council has been working with the parish council to enable the parish to take over its running.

“Work is already underway to relocate the market to parts of the High Street, St John’s Street and The Marsh.

“It is anticipated that the relocation will reinvigorate the market and therefore benefit the village centre generally.”

The district council is asking Hythe and Dibden Parish Council for its views.

Parish councillor Malcolm Wade said: “Some people think it would be great to have a Lidl but others say we’ve got too many supermarkets already.

“We should go out to public consultation and ensure we make the right decision.”

Former Hythe councillor Brian Dash added: “It’s likely the people of Hythe would love to have a Lidl but they might not welcome the potential impact on other shops.”

A Lidl spokeswoman confirmed that the proposed new Hythe store could create up to 40 jobs but said no timetable had been drawn up.

She added: “There is strong demand in Hythe for the quality products and unbeatable value that Lidl can offer. We look forward to opening a store there in the not too distant future.”