A CONTROVERSIAL £6million hotel will open in Colchester within the next year.

Demolition work has begun at the former Royal Mail depot, in St Peter’s Street, and Premier Inn is set to open in winter 2015.

The hotel’s plans had stalled because of a two-year legal battle, which culminated in a high court appeal by Castle ward councillor, Jo Hayes, which she lost in April.

She had argued the hotel should have been built in Queen Street rather than the road leading to Colchester Castle Park.

Developer Whitbread Hotel and Restaurants plan to spend £6million on the 85-bed hotel.

John Bates, Head of Acquisitions for Whitbread Hotels and Restaurants, said: “Demolition work has started on the Royal Mail depot site in Colchester.

“The 85-bedroom hotel represents a £6million investment in the local area and will create 35 new jobs.

“The new Premier Inn will help to attract new visitors to the town and support the local economy.

“We look forward to opening our doors to our customers in winter 2015.”