ONE of Oxford’s best known restaurants and three fellow independent traders have been given a new lease of life after plans to renovate a landmark Victorian building were delayed.

The Big Bang sausage restaurant in Walton Street, Jericho, had been expected to close in April after plans for 35 student flats and six new shops were approved two months ago.

The redevelopment, on the corner of Walton Street and Little Clarendon Street, will see three properties refurbished, including the renowned ‘Lumley’s Tea’ building, dating from the mid 19th century.

However, Big Bang owner Max Mason said he had now signed a contract tying him to the property until 2012, although he could be forced out before then with just six weeks’ notice. Representatives for the developer, Shirehall Properties, said the timescale for redevelopment was “flexible” although they expected work to begin in the second half of 2011.

The news means a stay of execution for wine bar Bottega, antique furniture shop Licious and discount retailer The Last Bookshop.

Mr Mason, 35, hopes the news will improve his bookings for Christmas parties, which are currently 25 per cent down on the previous year.

He has owned the restaurant for six years and signed the new contract two weeks ago.

Mr Mason said: “It is fantastic news. Long may we be able to stay.

“It’s been a scary few weeks and scarier for me as I have a home within the property too.

“Following publicity about us being on our last legs, Christmas booking dropped as people were worried we might not be here.”

Chris Murray, who runs Bottega, said he was thinking of serving lunchtime meals as he now has longer to build the business.

Mr Murray has previously voiced his fears that the new development will be bad for the area as he believes small businesses will be priced out of the new development.

He said: “It’s good news for us and for Jericho as well. I get the feeling we’re going to be around for a while.”

The plans for a new four-storey extension will lead to the demolition of 126 Walton Street and 32/32a Clarendon Street.

However, a controversial plan to demolish the shop with the well-known ‘Lumley’s Tea’ advertisement on the front was scrapped after an outcry from local residents.

Licious owner Fran Cundy said: “I’m very happy. This is a lovely part of Oxford.

“This site is really special because of the history of the buildings themselves, and the mix of people here. There’s nothing like it in the rest of the city.”

Cheryl Saunders, manager of The Last Bookshop, which sells discount books before they are pulped, said: “It would be lovely if everyone got to stay here for as long as possible because we have a nice selection of shops.”

However, project manager for the development Kevin Minns said: “This plan hasn’t been shelved because of the economy.

“Shirehall Properties are continuing with their plans for the redevelopment of the buildings and anticipate starting work on site in the second half of next year.”