BARNSLEY Council is pressing ahead with plans to demolish a 1960s' block on Shambles Street and replace it with shops and offices - despite the economic downturn.

The plan to knock down the council-owned concrete block was mooted about two years ago among plans to improve 'gateways' into the town centre.

Several businesses lease parts of the building but the building is past its best and next month council officers will start contacting them to acquire the leasehold interests. That would give them the opportunity to go ahead with the demolition.

Council leader Steve Houghton said the building is in poor condition and needed improving. "The aim is to create a mixed-use development with further office accommodation for the council and other users, including the Citizens' Advice Bureau.

"Secondly there is a potential for retail units on Shambles Street. We need to talk to all the businesses in there but the plan would be to rehome them in the building."

If the development goes ahead it will be funded by the council and would not rely on private investment - therefore the banking crisis would not affect it.