Norcros falls out with Morrisons over land deal

NORCROS, the showers-to-tile making business based in Wilmslow, said an £8.25m land deal with supermarket group Morrisons has fallen through.

The plot in Tunstall near Stoke is now the subject of a legal dispute which hinges on whether planning consent was granted.

In a stock market statement Norcros said the deal was subject to planning and a consent for a 71,000 sq ft supermarket was granted in May.

It said: “However, a dispute as to whether this constitutes an acceptable planning consent has not been resolved, and more recently Morrisons have been refusing to proceed in line with the contract.

“The board and its legal advisers believe the planning consent to be acceptable, and is considering its next actions regarding the contract, including seeking compensation from Morrisons.”

Norcros previously said that it expected to make a profit of around £800,000 on the site sale once the development costs and the £1.8m carrying value of the land was factored in.