Budget supermarket Aldi has revived plans to build a distribution centre on the Isle of Sheppey which would create around 400 jobs.

The expected 500,000 sq ft facility would be built on land it owns on the opposite side of Thomsett Way to the new Neats Court retail development.

It comes after news this week the German firm has set its eyes on a dozen sites in Kent.

It is looking to expand as part of a £600m investment which would create 35,000 jobs and build 1,000 stores across the UK by 2022.

Its list of targets for the county include Chatham, Faversham and Whitstable. The company already has stores in Sheerness and Sittingbourne.

"We obviously think it will be great news for the Island and it will be good locally for employment..." - Pete Raine

Swale’s regeneration director Pete Raine said: “We are expecting a planning application shortly. We hope to encourage them to use local labour as much as we can.

“I’m very happy to say that as a council, subject to planning, we obviously think it will be great news for the Island and it will be good locally for employment.”

He added the plan will be subject to due planning processes so he could not comment on the expected timescale involved.

JCB diggers have been seen on the site.

Last December, Aldi said Sheppey remained one of a number of options for its expansion plans in the South East but did not confirm it would be going ahead with its plans.

Previous plans for a regional headquarters and distribution centre on the Island, with a promise of 250 jobs, were scrapped in 2010. They were originally made in 2007 as part of the £400 million Queenborough and Rushenden Regeneration scheme.

Aldi has been approached for a comment, but has not yet responded.

If the plans go ahead, it would mean around 800 jobs have been created in surrounding area the past 14 months when added to the neighbouring Neats Court retail development.

Poundland celebrated its grand opening on Friday with the creation of 24 positions. The firm’s trading director, Richard Lancaster, says: “We are delighted to bring our unique proposition to Sheppey.”

A Sports Direct store will open on the development ahead of a planned next phase which includes a Marstons’ pub.