A BUDGET supermarket has defended its plans after store wars broke out over its bid for a former DIY store.

Lidl wants to open at the old Homebase, in St Andrew’s Avenue, Colchester, opposite Waitrose, and has submitted a planning application to convert the store.

But Asda urged Colchester Council to refuse plans for Lidl to open a new store two miles away.

The store’s bosses claimed the bid could draw customers away from its Turner Rise store.

Asda said it believes there is not sufficient information for Colchester Council to rule if the new store would have an adverse impact on the viability of the town centre.

Under planning guidelines Lidl does not need to provide a full impact assessment.

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But in response Lidl said “conclusions have been made without any justification”.

In an email to Colchester Council, senior planner Marcin Koszyczarek said: “Jigsaw Planning comments on Lidl’s business model and states it is slowly changing towards a traditional supermarket.

“Although, to very small extent this is somewhat true, as every retailer has to adapt to the changing circumstances, Lidl has stayed true to their original philosophy.

“Lidl’s unique business model has been accepted by numerous appeals around the country which confirmed it is a different business model to the ‘Big Four’ retailers.”

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Asda also said the council should be confident the unit could be occupied by any other superstore.

But Mr Koszyczarek added: “We do not think this is correct on the basis the proposed convenience goods unit will be directly operated by Lidl and this point would only be relevant if it was a speculative development. Given Lidl now owns the site they will want to develop it for their needs and there is no justification for assessing such scenario.”

The Lidl bid is for external alterations and dividing the building into two units. It has not revealed who could move into the smaller unit.

The multi-million pound investment will create 40 jobs.