PLANS for a new restaurant in North Oxford have been approved on appeal with a planning inspector criticising “irrational” and “unreasonable” councillors.

Shirehall Properties has won permission to turn three units on the corner of Walton Street and Little Clarendon Street into a restaurant.

Planning officers recommended councillors approve the scheme but Oxford City Council’s west area planning committee failed to make a decision in June.

The inspectorate’s Kenneth Stone said: “I find that the way the committee ignored the advice of its officers irrational and not supported by any substantive justification.

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“This amounted to unreasonable behaviour that led to a delay in the determination of the application and ultimately the appellant submitting the appeal.”

When the developer originally took over the disused Victorian building in 2009, with its famous Lumley’s Tea advert, it planned to demolish it and create student accommodation.

But in 2010 that plan was scrapped after public outcry and the building was renovated instead, with the top three floors now student flats.

Shirehall Properties put forward the plan to convert the ground floor into a single restautant after it failed to find businesses that could take on the three individual shops.

The council has different planning policies for Walton Street and Little Clarendon Street, setting out what proportion of shops and restaurants there should be in the areas.

Councillors were not able to decide which of the two policies should apply to the building as it is on the corner of both, meaning it took too long to make a decision and an appeal was launched.

Five letters from residents opposed the plan to the city council, arguing the area did not need another restaurant.

Mr Stone said: “A vacant unit has an adverse effect on viability and vitality of an area and particularly one that has been so for a prolonged period.

“Given the corner location, these units hold a key position and an active use commensurate with the character of the area would enliven and add vibrancy to the area.

“The proposed use would introduce an active use compatible with the distinct character of the Little Clarendon Street area which has mixed uses of specialist shops, restaurants and cafés.”

Shirehall does not yet have a specific restaurant planned to move in, but will seek offers.

The company’s appeal costs, which have yet to be decided, will also be paid by the council following an inspectorate ruling.

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