PLANS to open a new bank – which the council is investing £30 million in – are 'progressing well'.

Both of the town's MPs have expressed fears over the move, which will see the authority obtain a 33 per cent share in Redwood Bank.

The venture will see the council form a partnership with Acorn Financial Partners (AFP).

The challenger bank, which will have its northern office in the town, could open as early as July.

A council spokesman said: "The plans are progressing well.

"We will be announcing details on the banking licence, location of the bank and opening date at the appropriate time.

"The bank proposes to support local businesses, as well as businesses in other parts of the country, while generating a return for the council."

The executive board unanimously approved the £30 million move in January.