A row has erupted over the decision by one of Bradford’s major business to expand into Leeds.

Bradford Council leader Coun David Green is seeking urgent talks with Yorkshire Building Society bosses to find out why they said they could not find extra space in the city or sought help from the local authority’s experts.

Coun Green said the Council received only 72 hours notice of the Society’s plans, even though it usually had regular contact with YBS.

Political fallout from the decision increased as the Conservative group leader Councillor Glen Miller and Liberal Democrat leader Councillor Jeanette Sunderland echoed Coun Green’s disappointment about the move into Leeds, while welcoming the fact that YBS is retaining its head office with about 1,000 staff in Bradford and investing £11 million there.

As reported in yesterday’s Telegraph & Argus, the UK’s second largest building society has announced that it will upgrade its overcrowded head office in Rooley Lane which opened in 1992.

It will also invest up to £6m to occupy around 75,000 sq ft on two floors of the former Lewis’s department store building on Broad Gate in Leeds city centre where up to 800 staff engaged in head office-related operations will be based.

It will close its offices in Filey Street and New Augustus Street near Bradford city centre where nearly 400 staff are based.

Coun Green disputed YBS bosses’ claims that they were unable to find suitable premises to expand in Bradford. He said there were plenty of available office buildings in the city centre, including Little Germany, to where retailer Freeman Grattan Holdings moved its head office from Lidget Green last year.

YBS would also have benefited from city centre Growth Zone rate rebates for creating employment if it had occupied premises locally. .

Coun Green said: “I want to meet with Yorkshire Building Society to find out why it decided to expand in Leeds rather than Bradford.

“While their plans to invest in the Bradford office and maintain the head office here is good news, I’m disappointed that the extra office space is being created in Leeds and find it difficult to accept that they couldn't find somewhere in Bradford to meet their needs.

“We only had 72 hours notice of this announcement and I feel that the Council could have helped the Yorkshire with finding suitable properties if it had asked us.

“It would most likely have enabled it to take advantage of the city centre Growth Zone incentives for creating extra employment.”

Coun Miller said: “We should all be delighted that the company is making this large investment in the area and that it will help to retain jobs. However, while Bradford is largely retaining existing jobs, it would appear that the newly-created jobs are in the main going to Leeds.

“If Bradford is to regenerate itself and create jobs for our growing population we need to be competing successfully for new jobs. If we are not yet in a position to win new jobs from a company already based in the area, we are probably not yet going to win many jobs from companies based outside of the area and choosing between Leeds and Bradford.

“It would have been a greater show of confidence in the area and its people, if the new jobs were coming to Bradford district.”

Coun Sunderland also welcomed the Yorkshire’s decision to keep its head office in Bradford and invest there but was also disappointed that Bradford had lost out to Leeds for the new office development.

“I would have liked the Yorkshire to have moved its entire operation into the city centre to join other major businesses there and significantly increase footfall to boost the city centre economy,” she said.

Yorkshire Building Society said it had looked at options across Bradford, including existing premises and a possible new building, but none were suitable, either in terms of size to accommodate up to 800 staff or to meet a tight timescale for the reorganisation.

A spokesman said: “While we understand the Council may be disappointed by our decision, as an organisation we need to ensure we are building a long-term sustainable business that will continue to support our new and existing customers.

“The current fragmentation across several sites in Bradford has made collaborative working difficult, however, the new workplace designs at both Yorkshire Drive and Broad Gate will be a real catalyst to improve this.

“For us to open an additional office in Bradford with limited capacity would not have addressed this issue. By opening a new office in another Yorkshire city in addition to Bradford, we are increasing our presence in the region, not reducing it, and that can only be a good thing for the local economy.”