TESCO this week confessed that squatters are living in its St Albans city centre properties – before admitting that it still has no immediate plans to rent the vacant homes.

Eben Black, spokesman for the supermarket giant, stressed that “nothing could be done” until planning permission for a complete refurbishment of the London Road homes is gained, claiming the buildings are “completely unrentable”.

But council leader Robert Donald dismissed the claim, saying it was “untrue”, adding that he will be urging council officers to press on with an enforcement order in light of this.

It could see St Albans District Council take over the management of the properties if Tesco continues to drag its feet.

Last week the St Albans Review revealed that an “Empty Dwelling Management Order” was issued after Tesco broke its promise to rent two of the properties by the end of August.

Mr Black said: “There is nothing we can do without a complete refurbishment, which we need planning permission for.

“We haven’t been making any efforts to rent them because they are not rentable.

“There are squatters living there, they are the only ones who will live there.”

Councillor Donald says he now believes that Tesco was “spinning a story” to the council.

He said: “This is not what Tesco has been telling us.

“If it says there is nothing it can do without planning permission, then it was spinning us a story when it said they were going to rent some of them by August and Christmas.

“To say it cannot do anything without planning permission is not true – they can be rented.

“It has had a look at the cost of short term improvements and believes it is not cost effective.

“It could take a long time until planning permission is granted, if it is granted. This means the officers will now press on with the order.”