A businessman who ran the Nightflix drive-in cinema has criticised the council’s plans to build a 12-screen Cineworld at the Northern Gateway.

John Sullivan, who had set up and run the popular drive-in cinema, which also hosted screenings of Euro 2020, said the move would continue to drive customers out of town and do further damage to the town centre.

Nightflix is set to go into liquidation.

But Mr Sullivan cited other local authorities in Ipswich and Chelmsford which have turned down planning applications for out-of-town cinemas, and criticised Colchester Council for their decision to press ahead with the Cineworld at Northern Gateway.

He said: “Ipswich Council did not allow the Buttermarket Centre to build an out-of-town cinema because they didn’t want it competing with the town centre.

“Another example is Chelmsford – their council won’t allow a major cinema to be built outside their town centre either."

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Mr Sullivan, who is also a registered director at a host of other cinema and entertainment companies, added building major venues on the outskirts of Colchester was an outdated concept given the town centre was in desperate need of a revival.

“I’m very surprised that they’re considering an idea like this in this day and age.

“The council is going to gamble £65m of taxpayers money on building a Cineworld – a company which is in billions of pounds of debt."

“I have no sour grapes over the wrap-up of Nightflix – I can’t focus on running cinemas because my job is international – but I just feel for people in Colchester because their money is being is going towards something very fraught.”

But a spokesman for Colchester Council said the benefits of the Northern Gateway project were already coming to fruition, and that it was not in competition with the town centre.

He said: “Colchester Northern Gateway (CNG) is a landmark project, nearly a decade in the making, which is already delivering tangible and sustainable economic and community benefits.

“It is not seen as a competitor to the town centre or other local facilities but will provide a different offer and is complimentary to it.”