Denham blocks £400 million plans for new Everton stadium » Local Government » 24dash.com

A £400 million plan to relocate a Premier League football club has been rejected, the Government confirmed today.

Everton FC wanted to move away from Goodison Park into the Knowsley town of Kirkby.

The move was drawn up in conjunction with supermarket chain Tesco, which planned to open a major superstore on the new site - including a large retail park - with the creation of up to 7,000 jobs.

A public inquiry lasting nine weeks earlier this year heard evidence the new stadium could draw money away from neighbouring areas, and attracted strong opposition from their local authorities.

Today, the Government issued a statement saying: "Having weighed up all considerations, the Communities Secretary John Denham has decided to agree with the planning inspector's recommendation to refuse permission for large scale retail development and a new football stadium in Kirkby.

"Regeneration is one of the Government's key priorities and although there are benefits that would arise from the development, it would also be likely to have a harmful effect on the vitality and viability of Kirkby, Bootle, Skelmersdale and St Helens.

"Proposals also conflicted with the published development plan and national policy guidance on retail provision and transport.

"Other factors against the proposal include no guarantee of regeneration for the existing town centre and the negative impact of the stadium on the town's residents.

"There is also no evidence that an alternative scheme, which makes use of the town centre sites, could not be delivered with its own socio-economic benefits and without the identified significant conflict with national and development plan policy.

"We recognise that there have been strong views expressed about this complex proposal. Ministers thought long and hard about the case and decided that the negative impacts outweigh the benefits."

Everton's CEO, Robert Elstone, said creation of the 50,000 seater-stadium and retail development would have been hugely beneficial to Knowsley residents.

He said: "Obviously, we are all bitterly disappointed with the decision as we felt that - along with our two partners - we had compiled and presented a most compelling case for the Destination Kirby project.

"We said all along that we not only believed the project to be deliverable but that it would have proved to be hugely beneficial for both Everton Football Club and the people of Knowsley.

"We will now regroup and carefully consider the options which are open to us. I feel I must stress that we do remain totally committed to finding a new home for our football club. The hunt for that new home will now intensify."

Councillor Ron Round, leader of Knowsley Council, said: "We are sorely disappointed with the decision made by the secretary of state which means that this important regeneration scheme will not go ahead.

"This development would have resulted in many thousands of jobs being created, alongside a range of new facilities and investment coming into the borough.

"We are currently digesting the detail of the decision note and will in the coming weeks be looking at a way forward for the town.

"I am sure that many people will share my disappointment, but I would like to reassure the residents of Kirkby that they will not be forgotten.

"We have very much appreciated their cooperation and patience throughout this process and we will continue to work tirelessly in our quest to seek out other investment opportunities for the town."

A Tesco spokesman said: "We are disappointed with the decision.

"These were exciting plans that we believed would have changed Kirkby and the surrounding region for the better following our investment, jobs and associated development.

"We remain committed to bringing forward a new scheme in Kirkby.

"We will now review this decision to understand the reasons for refusal and work with our partners, Everton and Knowsley Council, to discuss a way forward."

Opponents, Kirkby Residents' Action Group, said the news was "fantastic" and their town could not cope with a Premier League football club relocating there.