Camden market has been saved from demolition after deputy prime minister John Prescott endorsed a decision to block the redevelopment of Camden Tube station.

The scheme, designed by Jestico + Whiles, would have involved the modernisation of the station and the construction of a mixed-use development above it. It would also have meant the demolition of the Electric Ballroom, a music venue, and the popular Camden market.

Prescott has backed an inspector’s report that supported Camden council’s rejection of the scheme.

The inspector argued that the Jestico + Whiles improvements were not significant enough to justify the demolition of the venue or the Victorian buildings that form part of the local conservation area.

The inspector said that the architect’s scheme would “have a devastating impact on the character of the conservation area”.