THE Christmas dreams of thousands of York children are under threat after it emerged that Santa Claus is NOT coming to town this year.

A grotto based in St Sampson's Square for the previous two years proved a big hit with both local children and visitors.

But now Father Christmas has decided to fly elsewhere, leaving city centre manager Paul Barrett unable to arrange a replacement with only days to go before the start of the festive season.

Mr Barrett said Santa - who in this instance hails from Lancashire rather than Greenland - had decided to move his grotto to Preston.

This was because a prior booking for St Sampson's Square by the St Nicholas Fair meant the grotto would not have been able to open for business in York until the start of December.

"We waited until the fair was over for the last two years, so we thought there would not be a problem," said Mr Barrett. "But we appreciate that he needs it to be worth his while.

"The arrangement had been based on goodwill and it had worked until now. We can't say we are not disappointed, and unfortunately it was too late to find anyone else.

"This is nothing to do with politics or the purse strings."

Other options for the space, such as extending the fairground in Parliament Street, have been considered but it will now remain empty this year.

However, Mr Barrett assured children that Santa would still be putting in plenty of appearances around York in the coming weeks, including ones at the Festival of Angels, the National Railway Museum and the Yorkshire Air Museum, at Elvington.

Children will also be able to visit in-store Santas at Fenwicks department store, in the Coppergate Centre, and Debenhams, in Davygate.

There will also be a variety of attractions for visitors, with four different themed markets in the run-up to Christmas and a temporary ice rink at the Eye of York.

The Santa disappointment echoes the situation in 1997 when Victoria House department storeclosed down.

On that occasion, the Evening Press and Theatre Royal swung into action to ensure children did not miss out, by organising a grotto on the theatre patio.

Updated: 10:39 Monday, November 17, 2003