SUPERMARKET giant Tesco has pulled out of building a new store two weeks after its first profit fall in two decades.

The company is abandoning its plan for a new store in Wallneuk Road in Paisley.

Previously the global giant had boasted the store would bring "hundreds of jobs" to the area.

But corporate affairs manager Gloria Coats said: "Following careful consideration, we have decided not to develop our plans for a store in Paisley. We understand some local people will be disappointed."

The company insisted it remains committed to existing stores in the area, as well as its plan to build a superstore in Linwood, Renfrewshire, which is under way.

Ms Coats added: "We continue to serve local customers from our popular stores at East Lane in Paisley, our Renfrew superstore, and our Tesco Extra store at Silverburn.

"We remain comm-itted to investing in Renfrewshire and look forward to opening our new store in Linwood next summer."

Renfrewshire Coun-cil, which received £4.75million for the sale of the Wallneuk site to Tesco in 2010, demanded urgent talks with the company.

The U-turn comes seven months after Tesco revised its plan for a 13,000sq m store at the site to 11,000sq m.

Council leader Mark Macmillan said: "Ren-frewshire Council will be doing all it can to ensure there will be alternative development at what is a key gateway into Paisley. I am arranging a meeting with Tesco bosses to begin that process.

"It's also important to note Tesco's decision isn't a reflection on Paisley. The decision was taken against a challenging national economic background."

Tesco's trading profit fell 8.3% to £2.3billion for the year to February.

ewan.fergus@ eveningtimes.co.uk