Author Philip Pullman said tonight it was "brilliant" news that a planning inspector had dismissed plans for a block of flats on a former boatyard site in Jericho, Oxford.

Last year, Oxford City Council turned down Spring Residential's plans to build 54 flats and a boat repair berth at the former Castle Mill boatyard site. The developer appealed and a week-long planning inquiry was held at Oxford Town Hall in August.

Now, in a decision released today, planning inspector Ava Wood refused to overrule the city council's refusal of permission. Spring had offered to provide 35 per cent affordable housing at the scheme, although the council requires new developments to be 50 per cent affordable.

However, Ms Wood concluded: "My findings in favour of the scheme on the affordable housing issue are not sufficient to outweigh concerns over waterside provision or the visual impact of the development, with implications for Jericho and the setting of the church (St Barnabas)."

Rebekah Paczek, a spokesman for Spring Residential, said the developer would check the appeal decision before commenting in detail.

Mr Pullman said: "I think this is a very wise decision on the part of the planning inspector. There was tremendous support for our campaign from residents, boat owners and from people living further away."

Adrian Arbib, who led the campaign to preserve the boatyard, said: "I am absolutely delighted and we will now concentrate on trying to get a small boatyard facility for the area and a community centre."

Protester John Keyes, 52, added: "Democracy in this country would be dead if this appeal had been allowed."

Emmett Schlueter, 65, of St Barnabas Street, whose home would have been overshadowed by the scheme, said: "Nobody in the area wanted this development."

Dr Evan Harris, Oxford West and Abingdon MP, added: "What is now required is for the developers to submit a more acceptable proposal, or to sell the land."