Controversial plans to house asylum seekers in a hotel in west Wales have been dropped by the Home Office.
The Stradey Park hotel in Llanelli was due to house up to 241 people, a proposal that was opposed by the local council and led to protests being held outside the building.
Carmarthenshire county council said the Home Office had sent written confirmation the plan had been scrapped after the authority highlighted to the government its concerns over rising community tensions.
The council leader, Darren Price, said: “I very much welcome the decision of the Home Office to withdraw its plans for the Stradey Park hotel. It’s the right decision for the hotel and, more importantly, it’s the right decision for the people of Furnace.
“Now is the time for the community of Llanelli to come together, to heal from the experience of the past few months.
“On the issue of providing sanctuary to people in desperate need, I will reiterate Carmarthenshire county council’s desire to continue to welcome our share of asylum seekers from countries such as Ukraine, Afghanistan and Syria to our county via the dispersal model which has worked successfully in Carmarthenshire for many years.”
The 77-bed site in the village of Furnace is said to have once hosted stars from TV, film and sport, including the 1972 Llanelli rugby team that beat the All Blacks, and has been a popular wedding venue.
It was recently sold and a deal was struck with one of the firms contracted by the Home Office to house people while the government processes their asylum claims, leading to dozens of staff being made redundant.
In July the council applied unsuccessfully for an injunction, arguing the plan constituted a change of use from hotel to hostel, and a breach of planning rules. The high court in London heard the change would “undoubtedly” harm the economy.
According to the BBC, lawyers for the site’s owners argued there was an “urgent” need for asylum seeker accommodation, and a “serious” risk the hotel would shut without the contract.
Protests have sprung up since the plan was announced in June, with many local people focused on the redundancies and the loss to the community of what they saw as a prized asset. The plan to host 241 people seeking asylum on the site also attracted members of the far right from outside the area, as well as protesters seeking to counter them.
Clashes between police and demonstrators have led to arrests, and several people have been charged with public order offences.