Mike German AM: Backing for project

Welsh Assembly Deputy First Minister Mike German said the scheme would "remove one of the main scars on the landscape of north Wales.

"The assembly recognises the project's huge importance not just to Wrexham, but to north Wales as a whole," he said.

The proposal is that a private company, Brymbo Developments Limited, would reclaim and develop parts of the site that had permission for industrial and housing use.

Environmental benefits

The council is expected to take responsibility for making the site safe and restoring historic buildings.

Since the steelworks closed 10 years ago with the loss of 1,200 jobs, the town has fallen into decline.

If the plans get the go-ahead, it has been decided that the major reclamation work will be carried out by the Welsh Development Agency (WDA), which is to receive �5m from the Welsh Assembly.

Talks about what to do with the plant have been taking place ever since the its closure.

The company hopes to begin the redevelopment by undertaking a completely self-funded scheme on some two-thirds of the site, creating 15 acres of land for housing.

WDA managing director for north Wales Chris Farrow said the agreement would allow them to tackle the biggest outstanding piece of derelict land in the area.

"It will be a very expensive project because of the complex engineering problems that need to be solved," he said.

"But the environmental benefits will be huge."