Cannock Chase Council’s multi-million-pound leisure vision was in tatters today after the Government quashed a bid to sell Cannock Stadium.

The council cannot sell the Pye Green Road site for housing, which would have brought in millions of pounds to re-invest in leisure services.

Local government minister Hazel Blears refused planning permission because it would have led to a loss of open space, and the leisure benefits did not outweigh this. She said the council’s evidence on affordable housing was “wholly insufficient”; and criticised efforts to build a replacement athletics stadium at Blake Valley Technology College, arguing more work was needed.

Council leader Neil Stanley said he was disappointed at the decision.

Councillor Stanley said the council did not have the money to invest in leisure facilities without the sale of the stadium. “We will be looking at the details of the Secretary of State’s decision to consider the future options for the site. It is now necessary to review how the Leisure Strategy is taken forward.”

Labour councillor Chris Mitchell, a leading member of the Save Our Stadium group, said: “I’m delighted at the decision.”