Ruth Kelly says she will not block Miller's Omega scheme in Warrington

Miller Developments will be able to go ahead with its £1bn Omega scheme in Warrington after the government said it would not block the project.

Miller had received outline planning permission for the first two phases of the commercial mixed-use 233-ha scheme last month, but it had been referred to the Government Office for the North West because of its size.

The office scrutinises applications where the impact may be extend beyond the counci boundaries.

Now the communities secretary Ruth Kelly has said Warrington council should decide the planning application.

The huge scheme has been mired in controversy over possible effects it will have on congestion in the area. The Highways Agency, which opposes the scheme, claims that 80% of workers at the business park are expected to travel in by car.

Miller Development is working with the Royal Bank of Scotland and English Partnerships on the project.

The first two stages of the project will involve industrial and distribution development in the north of the site and office accommodation and a hotel to the south.

The business park will be developed in phases over 25 years. Construction will start on site in spring 2007.