Uncertainty surrounds future levels of housing in Oxfordshire, with the Government putting off its response to a planning inspector's recommendations on development in the region.

The inspector's report on the draft South East Plan, the region's housing blueprint until 2026, gave full backing to Magdalen College's proposals for a 4,000-home development, near Grenoble Road. His recommendations, which supported Oxford City Council's case for the expansion of Oxford to combat the city's chronic shortage of housing, were published in August. The Government had been expected to give its long awaited response by March.

But it has announced it is going to take a full year to consider the report. Keith Mitchell, the leader of Oxfordshire County Council, said: "It's seriously worrying. It took the inspector six months to do a thorough investigation and the Government now wants a year to respond.

"I am afraid that the longer we have to wait for the Secretary of State to respond, the longer the uncertainty about Grenoble Road and what might happen there."

The Regional Assembly, which is chaired by Mr Mitchell, began work on the South East Plan, more than five years ago. After numerous consultations an examination in public began in November.

During the inquiry, the regional assembly's proposal to centre new homes in Oxfordshire around Bicester, Didcot and Grove, was challenged by Oxford City Council and Magdalen College, who want to see thousands of new homes built near Grenoble Road.

Under the draft South East Plan, drawn up by Seera (South East England Regional Assembly) Oxfordshire would aim to provide a average of 2,360 extra homes per year over the next two decades - a mix of new build and conversions.

County Hall says that it has saved Structure Plan Policies, which will now act as a "bridging mechanism" until the new planning blue print for the county is finalised.