ANXIOUS traders in Blackwood are to meet council officials to try to thrash out a deal to safeguard their businesses.

Shop owners who successfully campaigned to get the bus station re-development delayed now fear that disruption during the work will lose them business.

The 38-week scheme is due to start in January after being put back until after the Christmas period following protests from traders.

But now they are calling on the council to offer compensation in the form of a rates holiday while work takes place.

And crunch talks will take place between traders and Caerphilly county council officials within the next two weeks in a bid to reach a financial compromise deal.

Robert Wiseman, from Spangles, in Market Place Arcade, said: "We are hopeful the council will be able to help. This is going to be a difficult period and we need to ensure all our businesses are able to survive."

Wayne Cheshire, owner of Fresh and Tasty, in Blackwood High Street, said: "I think it is only sensible they offer us some kind of compensation. "When the town has been redeveloped they will put rates up. So why should we pay full rates while the work is happening and our businesses are suffering?"

Blackwood councillor Kevin Etheridge is backing the traders. He said: "I fully support the traders. Thirty-eight weeks of building work will really hit them.

"We have got to ensure that Blackwood stays open for business. It is all very well redeveloping the town, without the business there would be nothing worth redeveloping. A rates holiday seems a very good solution." Traders also want the council to consider offering free parking to encourage visitors while the work takes place.

A council spokesman said: "The council is looking at ways in which disruption to traders can be kept to a minimum during the works.

"There are a range of exciting regeneration schemes planned for Blackwood over the coming months, so it is important that we work together to ensure these schemes are undertaken as smoothly and effectively as possible."

Work on the bus station re-development, which is part of a ten-year regeneration strategy, was originally due to go ahead in October.

But traders feared this could put them out of business as they would miss out on Christmas trade, and following discussions Caerphilly council agreed to delay it until 2006.