THE controversial sale of a York coach and car park is set to be sealed in the face of huge opposition.

City of York Council’s cabinet looks set to approve selling the Union Terrace site to York St John University for a campus expansion, with improved coach facilities being provided at St George’s Field.

The ruling Labour group says the deal would create more than 100 jobs and release £2 million for a scheme to revitalise the city centre and introduce pay-on-exit parking, but it has sparked fierce protests.

Local businesses say their trade would be wrecked, fears have been raised about its impact on York’s tourism, and more than 11,000 people have signed a petition opposing the sale. A decision was shelved after a study by consultants Halcrow emerged and the council’s cabinet will discuss the issue next week.

A report by Coun Julie Gunnell, cabinet member for corporate services, has proposed setting up coach pick-up points at locations including Piccadilly, Monkgate, Lord Mayor’s Walk, Foss Islands Road, Leeman Road, Foss Bank and Hungate if Union Terrace is sold after public consultation. The Monks Cross Park&Ride site would provide out-of-town coach parking.

The report is one of the first under the new council system, which means reports are written by councillors instead of non-partisan officials.

It said car-parking demand following Union Terrace’s sale could be met at Marygate, Monk Bar, Bootham and Foss Bank, while Monks Cross and Rawcliffe Bar Park&Rides could be used when necessary. Work on the campus extension would start in October 2013, with the council having the opportunity to lease back the site until then.

Labour and the Liberal Democrats, who ran the council for eight years until May, have clashed over who commissioned the Halcrow study, which says a “long-term solution” could include a York Station bus interchange and coach-parking facility.

An email from a senior council officer, seen by The Press, said Halcrow was asked to undertake the work in February and it was “likely” Union Terrace was discussed with the then-Lib Dem leadership. However, Lib Dem leader Coun Carol Runciman said the party never looked at a sale.

Council leader Coun James Alexander said: “It is hard to believe Coun Runciman knew nothing about York St John approaching the authority to purchase this coach and car park or the council spending £7,958, plus VAT on a report progressing this scheme.

“Unlike the Lib Dems, we are ensuring a period of consultation occurs with traders, residents and businesses over this controversial project.”

Coun Runciman said officers commissioned the study at York St John’s request, adding: “The previous administration never discussed or considered the idea of a sale of Union Terrace to the university and was never shown a copy of the report.

“For Labour to suggest otherwise is untrue and a transparent attempt to deflect criticism. Coun Gunnell mentions consultation as an option early on, but the recommendation is clearly to sell the land. She has failed to properly assess the impact the sale will have on our city.”