Oxford city centre’s first pound shop has sparked a mixed reaction from traders and shoppers.

The city’s first Poundland is poised to open in the Westgate Centre, taking over the former Next Clearance shop.

But not everyone welcomed the idea wholeheartedly, although many said the new jobs were good news.

President of the Oxfordshire Chamber of Commerce Nigel Wild, said: “Shops like Poundland have their place but I am not sure the Westgate Centre is it.

“But then any jobs created are always good news and I think it will probably be quite well used. What I think Oxford needs is more diversity of shopping to pull people in.”

The new store is to open on Thursday, September 1, creating 25 jobs.

Next Clearance closed on Saturday, August 6 after its lease came to an end.

In May the Oxford Mail revealed the long-stalled £330m redevelopment of the ageing centre still looked set to go ahead.

A cinema could be added to the scheme, which already includes a John Lewis department store, shops and a multi-storey car park.

Graham Jones, spokesman for business pressure group ROX, said it did not matter how much Poundland’s goods cost, but how much trade the store brought to the city.

He said: “I don’t see it as a downside in terms of its cheap goods.

“Oxford is quite diverse and there are people on very high incomes and people on very low incomes.

“There are also lots of people looking for jobs. I have seen branches in other city centres and Poundland is quite welcome.”

Poundland’s trading director David Coxon said: “Poundland offers exceptional value on top branded products to more than 3.5m customers every week. The £1 price hasn’t changed since we opened our first store 21 years ago.

“Our customers love us and we are sure Oxford shoppers will too.

“We are delighted to bring our unique proposition to Oxford.”

Poundland is Europe’s biggest single priced discount retailer with more than 345 stores nationwide.

The chain plans to open 50 new stores in the 2011/12 financial year, creating around 2,000 jobs.

A planning application for the Westgate redevelopment scheme is expected to be lodged next year.