A legal threat from Lidl could scupper construction of a new Aldi store - even though the plans have already been green-lit.

The rival German discounters are embroiled in a battle over development of Folkestone’s former Silver Spring Mineral Water Company site.

Folkestone and Hythe District Council (FHDC) approved Aldi’s plans to open on the Park Farm Industrial Estate earlier this year, but Lidl is now threatening to launch a formal judicial review of the authority’s decision.

It claims the council “failed to assess the application with necessary care” as a planning officer’s report prepared ahead of the committee meeting did not mention Lidl’s concerns over the impact on its two stores in the district.

The chain says the authority has “exposed itself to a judicial review claim” by failing to complete a “rigorous impact assessment” of the new supermarket.

The proposals were unanimously passed by FHDC’s planning committee in June, and also include two new drive-thru restaurants.

But law firm Blake Morgan has written to FHDC on behalf of Lidl - which runs stores in Shellons Street, Folkestone and Hawkinge - saying the authority should reconsider its decision.

“The council failed to assess the application with the necessary care, misled and or misdirected members of the planning and licensing committee,” it wrote.

“The failure of the authority to give any party the opportunity to digest key information puts the decision made by the planning and licensing committee at high risk of challenge.

"[This was] a risk which should have been known and recognised by officers and one which should have been mitigated.

"Our client hopes that following a careful review, the council will review its position.”

FHDC says the plans, submitted by Channex Project Ltd, are yet to be officially signed off as a legal agreement still needs to be completed.

“The planning and licensing committee resolved to grant planning permission in June, subject to the completion of a legal agreement and some minor amendments being made to the scheme,” the spokesman said.

“As the legal agreement has not been completed to date, the application is not yet determined.

“We are aware of Lidl’s concerns and we will bring them to the attention of the planning and licensing committee before a decision is issued.”

An Aldi spokesman says the chain “remains committed to bringing a new store to Folkestone”.

It currently runs a store in Dymchurch Road, Hythe, but the Silver Spring scheme, if built, will be its first in Folkestone.

The store is set to be 20,000 sq ft in size, with the unnamed drive-thrus ranging from 1,800 sq ft to 2,500 sq ft.

A pair of mid-range hotels - potentially an Ibis and a Hampton by Hilton - were previously earmarked for the land, but were scrapped after the Covid pandemic blew a hole in the business case.

Find out about planning applications that affect you by visiting the Public Notice Portal.

Park Farm Industrial Estate is already home to McDonald’s, Sainsbury’s, Homebase, Pets at Home and Home Bargains.

Silver Spring, which had operated in Folkestone since 1888, fell into administration in 2013 and the building was demolished a year later.

The company had been based on the Park Farm estate since 1970.