The transformation of the ‘gateway’ to Weymouth with a sprawling retail development could boost the local economy by almost £5 million a year as well as creating hundreds of jobs, a new independent report reveals.

The report has been released as the development took a major step forward after receiving official backing from Weymouth & Portland Chamber of Commerce and the South Dorset Business Advisory Panel. Bosses say the news should come as a welcome boost to the area after the local economy was hit by the Covid-19 pandemic.

The planned development by LondonMetric Property and Avercet, for land to the east of Mercery Road at the Weymouth Gateway site, proposes three ‘big box’ retail warehouse units, two restaurants or coffee shops, a serviced plot to be marketed for employment use, and another area set aside as ‘Future Development Land’.

Previously, Chris Newns, Director of Avercet, spoke of his excitement at the prospect of bringing a development of this kind to Weymouth.

“Weymouth has always suffered because Bournemouth, Poole, Dorchester all seem to come first, so to bring a development like this to the town is very exciting,” he added.

The scheme has already secured the commitment of Dunelm, B&M, Costa and McDonald’s, and the keen interest of a number of other prospective occupiers.

A new report by market analysts Aecom concluded that at least 240 jobs would be created once the site was operational, as well as a further 40 should an occupier come forward for the serviced plot and ‘future development land’, bringing the total number of direct permanent jobs on site to 280.

Aecom also assessed that ‘around 50 full-time equivalent (FTE) construction jobs’ will be supported for the duration of the 18-month build. Furthermore, it estimated that more than 50 FTE new jobs could be created indirectly in the local area as a result of an upswing in local economic activity.

These figures are in addition to the employment opportunities the developers have already created west of Mercery Road through the new Aldi store and the Medisave House extension. These developments created 60 jobs as well as another 50 construction jobs.

Considering the potential employment opportunities, Aecom estimated that the annual gross value added (GVA) benefit of the proposed development would be £4.76 million per annum, while it estimated that once fully operational, the site could generate more than £6m in business rates over the first 10 years.

Tom Pinder of LondonMetric Property, said: “The benefits assessed by this report are particularly significant for a local economy which has long been susceptible to the seasonal nature of the tourism market and is particularly fragile following the impact of the Covid-19 pandemic.”

“We are committed to providing residents with secure, year-round jobs with associated training opportunities and career paths. Our proposals to regenerate both the west and east side of Mercery Road represent a combined investment of £50 million, which will go a long way towards helping Weymouth and Portland to turn their economy around.”

The report has been released after the development received the backing of South Dorset Business Advisory Panel and the Weymouth & Portland Chamber of Commerce, which have both have written to Dorset Council to support the planning application.

Craig Oakes, president of WPCC, wrote: “It will draw shoppers into Weymouth who in turn will venture into the town and surrounding areas in order to make a day out of it. There is a great opportunity to rethink what Weymouth can really offer as a visitor attraction in and out of season. We have a great town and harbour that could draw in large investment in turn visitors.”

The South Dorset Advisory Panel wrote: “We believe that it will bring a numerous benefits to Weymouth and the wider south Dorset area. In addition to developing a site that has been vacant for many years, and creating much needed employment, it will also give a very clear Weymouth is open for business and that Dorset Council supports business growth in the area.”