A High Court judge has ruled that Michael Gove’s decision to block M&S’s plans to redevelop its flagship West End store was “unlawful”.
Mrs Justice Lieven said the Government made a series of “blunders” while trying to block the plans.
M&S launched a planning appeal after the Cabinet minister rejected the proposal that its Marble Arch store in Oxford Street be demolished and replaced with a new 10-storey complex.
Critics of the plan have argued the building should be refurbished rather than demolished, and that demolition would negatively impact those nearby, including Grade II listed Selfridges.
It fuelled a row over the decline of Oxford Street, which claims the title of the UK’s premier shopping location. M&S warned it could be forced to quit the street altogether unless the plans were upheld.
But heritage campaigners argued the 1929 Art Deco building should be refurbished and restored.
Westminster City Council, the Mayor of London and a planning inspector backed the retailer’s argument that complete demolition and rebuild was the best option. However Mr Gove, the Housing and Communities Secretary, stepped in to halt the plans.
He argued it would “fail to support the transition to a low-carbon future, and would overall fail to encourage the reuse of existing resources, including the conversion of existing buildings”.
He also stated that the public benefits of the proposal did not outweigh the harm to nearby landmarks, such as Selfridges.
However, in her ruling, the judge found Mr Gove had “rewritten” a key planning policy rather than applying it, and had failed to explain why he disagreed with the planning inspector.
The court’s ruling means the Cabinet minister must now reconsider his decision.
A spokesman for Marks and Spencer’s said the judgment was clear. “The court has agreed with our arguments on five out of the six counts we brought forward and ruled that the Secretary of State’s decision to block the redevelopment of our Marble Arch store was unlawful.
“The result has been a long, unnecessary and costly delay to the only retail-led regeneration on Oxford Street which would deliver one of London’s greenest buildings, create thousands of new jobs and rejuvenate the capital’s premier shopping district.
“The Secretary of State now has the power to unlock the wide-ranging benefits of this significant investment and send a clear message to UK and global business that the government supports sustainable growth and the regeneration of our towns and cities,” she added.
Mr Gove’s original decision to block M&S’s plans had been criticised by the retailer’s chief executive Stuart Machin who called the decision “unfathomable” and an “anti-business approach, choking off growth and denying Oxford Street thousands of new quality jobs, a better public realm and what would be a modern, sustainable, flag-bearing M&S store.
“When 42 of the 269 shops on what should be our nation’s premier shopping street sit vacant, disregarding the expert opinion and approval of the appointed planning inspector, and playing to the gallery by kiboshing the only retail-led regeneration proposal, is a short-sighted act of self-sabotage by the Secretary of State and its effects will be felt far beyond M&S and the West End.
“The suggestion the decision is on the grounds of sustainability is nonsensical. With retrofit not an option – despite us reviewing sixteen different options – our proposed building would have ranked in the top 1 per cent of the entire city’s most sustainable buildings.”
He said the new design at 458 Oxford Street would use less than a quarter of the energy of the existing structure, reduce water consumption by more than half, and deliver a “carbon payback” within 11 years of construction.
A spokesperson for the Department for Levelling Up, Housing and Communities: “We acknowledge the judgment and are considering our next steps. It would be inappropriate to comment further at this stage.”
James Souter, a planning law expert at Charles Russell Speechlys, said: “Today’s decision will be embarrassing for the Government, not least because of the public perception on the costs incurred.
“It could also give developers greater confidence in bringing forward contemporary new-build schemes, even where the possibility of retrofitting existing structures is theoretically possible.
“However, this does not automatically mean that planning permission will be granted – Gove will have to redetermine the appeal and could in theory still refuse planning permission.”