COUNCIL bosses in Ryedale say they will probably have to dip into emergency reserves to pay any bills caused by the controversy over a Malton development.

Ryedale District Council rejected the Fitzwilliam Malton Estate’s proposals for a supermarket and other shops on the Malton Livestock Market site last year, but the decision was subsequently overturned by a planning inspector and partial costs were awarded against the authority.

The inspector also said the council should reconsider its decision to approve a £5 million supermarket plan for Wentworth Street car park, after it agreed in principle to sell part of the land.

The Fitzwilliam appeal has already cost the council £10,325 in legal costs and £30,229 in professional fees, and the estate’s solicitors are claiming for £251,505 costs from the council.

In a new financial report for 2013/14, the council’s corporate director Paul Cresswell said the “exact value” of the estate’s claim should be agreed in the next year and councillors will be given options about how to foot the bill. He said it was likely that the council’s reserves would be used, and he said the reserves were adequate.

Mr Cresswell’s report, which will go before the policy and resources committee this week, also said the final cost of the A64 junction improvements at Brambling Fields, which were severely delayed by bad weather, was likely to be above budget.