THE £50million leisure development planned for Seaway could force other Southend businesses to close, a council meeting heard.

Southend Council is in discussions with Turnstone Estates over the huge seafront car park transformation.

The controversial development has been criticised by seafront traders who believe the idea should be scrapped as Turnstone Estates did not secure planning permission by a December 10 deadline, despite signing the original lease in 2014.

The scheme includes a multi-screen cinema and Hollywood Bowl along with bars, restaurants and a hotel, which would mean competition for the town centre’s Odeon cinema and bowling lanes at the Kursaal.

At a meeting of the council’s policy and resources scrutiny committee, James Courtenay, cabinet member for growth, was told these and other associated businesses could close if the plan materialises.

The resident, who wasn’t named, said: “From recent public correspondence, it has come to light that the viability of the Kursaal, the Odeon and ancillary businesses associated with those sites will be threatened by the Turnstone development and will be likely to close when that development opens.

“Has the impact of these closures been factored into the economic appraisal and the net overall benefit to the community?”

Mr Courtenay said he believed competition between businesses could be good for the town’s economy.

He replied: “The economic benefits assessment takes into account displacement in the economic impacts and benefits section, along with estimated economic benefit arising from linked-trips and additional tourist expenditure.

“Whilst there is a range of positive benefits, the scheme will bring some competition with existing businesses.

“We believe that this will drive investment and enhance the leisure offer available to residents and visitors and increase commercial activity in the town centre.

“The proposed scheme is aligned with the council’s long-held ambitions for this land as the report sets out.”