NEWPORT city council is facing a difficult juggling act when it deliberates on the plan by Sainsbury's to move to a site in Crindau.

Sainsbury's says its popular Shaftesbury store is no longer big enough, and the new one it wants to build half a mile away will employ an extra 50.

However, it says other buildings associated with the new store - including a hotel and 'non-retail' units - will create another150 jobs.

The site at Crindau is owned by Lattice Property Holdings, which is discussing the plan with Sainsbury's property development section.

But the company's forecast for development of the site is exactly what traders say is its drawback.

"Proposals for the Crindau site also incorporates a new road which will open up all the surrounding area for development," a Sainsbury's spokeswoman said.

"This will hopefully encourage other companies to link up with the Newport Urban Regeneration Council and Newport city council in transforming the area.

"Sainsbury's is aware that due to the popularity of its existing Newport store, we will outgrow our current site at some point in the future.

" We are continuously looking at ways of expanding our existing sales area to offer customers a better service and we see this as a potential opportunity for relocation."

Traders say the creation of another 'out-of-town' development will harm the prospects of a rejuvenated city centre, while the council wants to attract shoppers to the centre without turning away companies who want to come to 'out-of-town' sites.

Sainsbury's current Newport store is 30,000 sq ft in sales area.

The Crindau proposals would extend this by about 20,000 sq ft .

Sainsbury's currently leases the Shaftesbury site.