Can these ambitious plans for Merry Hill rival the Trafford Centre?

The company has already revealed plans to spend more than £100 million on the shopping centre at Brierley Hill, with a new cinema as part of an expanded leisure and dining area.

And Next is converting the former Sainsbury supermarket into one of the chain’s biggest UK stores.

Now intu has revealed its aim to put Merry Hill on a par with one of the biggest and most successful shopping centre’s in the country.

The company told the City: “At intu Merry Hill in the West Midlands, a centre we took full ownership of in 2016, we have a great opportunity to generate value with a leisure extension, similar to that at intu Lakeside, to ensure the centre has a compelling mix of retail, catering and leisure on a par with our flagship asset outside Manchester, intu Trafford Centre.”

It came as the property giant revealed rising customer numbers and its success signing up a string of major shopping brands for its centres up and down the country.

The bullish trading statement was seen as part of intu’s efforts to quell any doubts about its proposed £3.4 billion tie-up with Bullring and Grand Central owner Hammerson.

The threat to the deal from gatecrashers Klepierre appeared to subside last week after the French group abandoned its rival bid for Hammerson.

But Hammerson dropped a bombshell on Wednesday morning by announcing it was recommending its shareholders reject the intu merger.

Meanwhile intu says it has taken a £3.9 million hit in recent months from the collapse of major retail chains such as Toys R Us and Maplin, as well as restructuring by the likes of New Look and Prezzo.

But its trading update for the year so far was focused on record demand from retail chains and a strong operating performance. Chief executive David Fischel said: “Our prime shopping centres produced a strong first quarter with lettings at increased rents, high occupancy and footfall exceeding the comparable period last year, with footfall significantly and consistently outperforming the ShopperTrak national retail benchmark over the last five years.

“It was a record three months for retailer demand as we signed 60 new leases, with high quality names increasing their presence with intu and great new brands coming to our shopping centres for the first time.

"This includes flagship retailers Zara and River Island trebling and doubling their space respectively at intu Lakeside and Abercrombie & Fitch choosing intu Trafford Centre for its first UK store outside London.” Mr Fischel said intu continued to see growth opportunities for its £10 billion UK portfolio, including its four biggest sites: Trafford Centre, Lakeside in Essex, Gateshead’s Metrocentre and Merry Hill.

The group said that its 60 new long-term leases were worth up to £10 million a year in rent.