A multi-million scheme to build new accommodation for backpackers and visitors is being considered by the Youth Hostels Association.

A £3.5m 200-bed hostel is proposed for land owned by Railtrack between Oxford railway station and the White House Pub. If it goes ahead, the hostel could create up to 600 temporary construction jobs in the city and a staff of 11 is expected to run the new hostel.

Oxford City Council has given planning permission to the scheme. The YHA will discuss the proposal in May, with the final decision made by the board of directors in July. Terry Stoddart, YHA Director of Development, said the scheme was one of six across the country currently being considered by the association."The committee will hold an opening discussion when it meets next month. He said: "The board has just to make up its mind on whether it really wants to spend this amount of money. It's obviously a big financial commitment."

The nearest hostel to the city centre is in Jack Straw's Lane, Headington, and attracts 35,000 visitors a year, but it is in bad shape.

Mr Stoddart said: "We have an existing site at Jack Straw's Lane, but the building there is passed its sell-by date. It would require considerable investment to bring it up to modern standards. So we thought we would take the opportunity to set up a new modern hostel right in the heart of the city."

If targets are met, work should start on the Botley Road hostel in the autumn, with the aim of opening next summer.

Story date: Wednesday 07 April

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