A CONTROVERSIAL plan to expand an out-of-town retail park has been thrown out by councillors.

The move came after protests about the "detrimental impact" the scheme would have on town centre shops in Accrington and Blackburn.

Manchester-based Peel Holdings wants to increase the range of shops at the Whitebirk retail park on the Hyndburn-Blackburn boundary.

But after fierce opposition from local businesses, councillors on Hyndburn's planning committee unanimously went against their officers' recommendation and refused to allow the developer planning permission.

Bosses at Peel, which is headed by Rossendale-born John Whittaker, immediately vowed to appeal against the decision.

Gareth Finch from the company said the decision was not in the best interests of shoppers in the area.

But Hyndburn Chamber of Trade chairman Ian Smith said the decision was "great news" for traders.

And Blackburn with Darwen Council deputy chief executive Andrew Lightfoot said: "It is the right decision for Blackburn and Accrington."

Peel wanted to increase the Whitebirk site to include some food and fashion retailers.

That would have meant the council agreeing to drop the current restriction which prevents the retail park selling clothes and foodstuffs.

Its current stores mainly trade in white goods as well as furniture and carpets.

Peel said it would attract big high street names such as Next and ASDA and create 250 jobs.

Mr Finch said: "We are very disappointed. The vast majority of people we surveyed were in favour of this development. The council say it will impact on Accrington but we strongly disagree, we think it will complement the town centres and could boost shopping in Accrington.

"In Blackburn there is a Next at Grimshaw Park and a Next in the Mall in the town centre. That shows that the two different shopping areas can work together."

He said that an appeal could be ready within the next few days.

Mr Smith, from Hyndburn Chamber of Trade added: "These plans would lead to the swift and rapid decline of Accrington town centre. The development would have been in direct competition with both Blackburn and Accrington."

David Cottam from Blackburn and District Chamber of Trade said: "Dropping the restrictions that exist there at the moment would be a disaster for the town centre retailers and could open the floodgates for future expansion."