Newport store appeal failure 'sets a precedent'
Losing an Appeal Court bid to stop Morrisons building a supermarket in Newport has set a "significant national precedent" which has implications for all planners, Telford & Wrekin Council claimed today.
Reports that the council has spent £1.5 million on legal bills in dealing with a number of supermarket applications for the town are also "untrue", it said.
On Wednesday, the council lost its bid to overturn the decision of a government planning inspector to allow a Morrisons to be built at Audley Avenue in Newport.
The inspector removed a condition for the developers to pay for road and infrastructure improvements, which the council says will now land it with a bill of more than £2 million and open the doors for other developers to avoid such costs in the future.
Councillor Bill McClements, cabinet member responsible for finance, said: "We are disappointed with the judgment.
"Our aim throughout has been to protect and secure best value for the public purse and a high quality supermarket for Newport which would enhance the town and create employment.
"The council has been accused of wasting some £1.5m on 'spurious legal appeals' to block rival supermarket applications. This is untrue.
"The council has spent £157,000 on appeals at Audley Avenue and Mere Park, which it has instigated.
"We did this because the Government planning inspector, when approving a supermarket at Audley Avenue, removed the requirement on the developer to help fund highways and other essential infrastructure works needed should this and other developments proceed.
"Without these developer contributions, the cost of any works, likely to be in excess of £2 million, would fall on the council and local taxpayers and set a significant national precedent for development.
"We did not make these appeals without very careful consideration first. Our expert external legal advisors felt that the council had a strong case while the Court of Appeal, when allowing the council to appeal the decision on Audley Avenue, said 'the issues raised have a reasonable prospect of success'."
He said the £1.5 million figure referred in media reports as the "council's legal bill" was the cost the council expected to incur to cover all costs relating to process planning applications for all supermarkets in and around Newport.
Councillor McClements added: "The council incurs significant costs in processing, considering and determining planning applications – this is our 'day job' and these costs are unavoidable and important to manage the impact of any development in the local community. There are also significant costs associated with developing and submitting a proposed development scheme."
He said the council also incurred significant costs because of the actions of other people, including £96,000 it had to pay after residents launched a doomed bid to get a site in Station Road, on which the council wants to build a huge Sainsbury's store, designated a village green.
A public inquiry into the Station Road plans also cost the council £544,000 – that inquiry was not completed after the death of the inspector and is due to be reheard this year.
Councillor McClements added: "Telford & Wrekin Council wants all towns in the borough to flourish. We know that the proposed Station Road location has been criticised by some people.
"However, the government planning inspector stated 'there is no doubt about the suitability of the Station Road site for food store development' and a supermarket would have 'no significant impact on Newport town centre'.
"In this context, the Station Road site is an asset that is owned by the people of Telford and Wrekin. We have a legal duty to secure best value for these assets on behalf of the whole borough."
He added: "We are now reflecting on the Court of Appeal judgement and what we will do next. However, we can say that we don't believe this judgement is in the overall best interests of the people ."
