A NEW private hospital could be opened on part of Nestl Rowntree's site in York.

And the York Health Trust is still "positively pursuing" the possibility of developing new NHS facilities alongside the new Nuffield hospital.

The Evening Press revealed last year how Nuffield wanted to close the Purey Cust Hospital near York Minster and build a bigger and better replacement hospital elsewhere in the city.

It said it was working closely with York Health Trust NHS on the feasibility of developing NHS facilities on the same site, in a move which could help tackle waiting lists at York District Hospital.

Now the charitable health care provider has confirmed that one of the possible sites under consideration is Nestl's dining block in Haxby Road, where the staff restaurant closed down only last week.

The location's close proximity to York District Hospital would be a major advantage for staff such as doctors, who might need to get quickly from one hospital to the other. It would be a ten-minute walk, avoiding the need to use a car and the risk of getting stuck in traffic.

But Purey Cust manager Steve Greatorex has stressed that no decisions have yet been taken, and no planning application has been submitted to City of York Council.

"We are still looking at several options," he said, conceding that it was taking longer to choose the right site than had been expected but saying it was vital to get the right location.

Nestl said today it had indicated to the council's planning department last October that its dining block site would not be required.

It could therefore be considered as a potential brown field site.

"This was accepted and entered into the latest draft of the Local Plan that has recently gone out for public consultation," said a spokesman.

"We are regularly receiving approaches from third parties interested in purchasing land and buildings for development and we consider these on a case-by-case basis."

He said the work of the local plan inquiry had stimulated interest in the dining block site.

"One particular approach has led to further investigation work that has confirmed their initial interest."

He said the dining block's restaurant had closed last week because of declining use by workers, and alternative dining facilities were available to workers elsewhere on site.

York NHS Trust was unable to reveal what facilities might be developed on the new Nuffield site.

Updated: 15:43 Tuesday, July 30, 2002