Poundland tsar: 'Wolverhampton Council must do more to attract firms to city'

The city has seen a resurgence in its retail sector in recent times, with the new Sainsbury's store opening in Chapel Ash and a £30 million redevelopment announced of the Mander Centre which will feature a new Debenhams store.

But Steve Smith, the entrepreneur behind the Poundland success story who went from running Black Country discount markets to a multi-million pound nationwide business empire, said Wolverhampton City Council should be more active in trying to lure large businesses into the city.

He said that the authority's failure to secure development of the city's derelict eye Infirmary as an example of a 'potentially massive project' that was allowed to drift away.

"I would ask what they are doing to pull blue chip firms into Wolverhampton," he said.

"If a number of large firms start to move in then more will follow. I have no doubt the city could thrive, but people want to see something happen and the council are not doing enough to attract the blue chip firms.

"We had a number of firms who were ready to move onto the eye infirmary but the council just couldn't make any decisions."

Mr Smith was involved in a consortium which bought the site on Compton Road from the Royal Wolverhampton Hospitals NHS Trust three years ago.

The building has stood boarded up since 2007 and is regarded as an eyesore on a major throughfare into the city.

The group, which also involved Scott Bernard of Mount Hotel owners Aspen Leisure and Select Healthcare, and Rodger Danks of property company RDI Group, originally planned to bullzoze the site and construct a new multi-puropse development called The Icon Centre.

Supermarket giant Aldi had been one firm interested in setting up a store there but the move eventually fell through.

Last August more than 30 firefighters were called to tackle a blaze at the site after it emerged squatters had been living there.

"We invested a lot of time and money into that site," added Mr Smith.

"There were a number of tenants interested in moving there.

"I'm talking about a highly successful companies that would have brought jobs and prestige to the city.

"But they were not willing to wait around forever and ended up moving on.

"You're talking about a lot of money moving out of Wolverhampton because the council were unable to get anything done."

Mr Smith, who now runs online property agents EstatesDirect.com, added: "It is down to the council to show initiative, to make Wolverhampton a place where people want to go shopping.

"If they do firms will want to come to the city and join in.

Councillor Peter Bilson, Wolverhampton City Council's regeneration chief, said the authority were still working to attract development to the former eye infirmary, as well as the old Charles Clark building on Merridale Road.

He said: "The council has worked hard to create the conditions right for businesses to come and invest in Wolverhampton.

"The two sites in Chapel Ash both have considerable potential for development.

"But when sites are not in our ownership it is up to developers to come to us with a proposal that we think will work.

"We put no obstacles in the way.

"In the past there may have been scope for criticism but we have taken steps to remove any barriers.

"The proof can be seen in the number of recent major developments across the city.

"We have stepped up to the plate; it is up to the private sector to do the same."