Lancashire County Cricket Club (LCCC) has been given the go-ahead with plans to redevelop Old Trafford, after Derwent Holding's case was dismissed from the Court of Appeal.

The Derwent case was dismissed by the judges with no leave to appeal.

Chief Executive Jim Cumbes said: "This has been a crucial day, the most important in the club’s 147-year history. After seven years of hard work and tough battles, we can say the future for the club is now brighter.

"We were confident of winning and we are happy we have now seen the end of a protracted legal process which has been draining the club financially."

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The legal challenge was brought by Isle of Man-based billionaire Albert Gubay’s Derwent Holdings, owner of the nearby White City retail park.

Mr Cumbes said: "It's been a frustrating process in which Mr Gubay's own plan for a rival food store at White City was rejected by the planning inspector and then a public inquiry. His Judicial Review challenge seemed to us a pointless exercise, but it did create huge uncertainty due to its financial implications."

It means that the full development programme which will see a transformed Old Trafford fit to host the 2013 Ashes can still be maintained.

The club’s plans include £32 million of investment in new pitches, stands, state-of-the-art player and media facilities and an extension to the ground's indoor cricket school and public areas. Two new grandstands and a refurbished Pavilion will ensure a capacity of 15,000, capable of rising to 25,000 with temporary seating, and a screen showing action replays, and new floodlights. The development, which includes a Tesco food store on land nearby, will bring investment of at least £70m and over 500 jobs into parts of Trafford which suffer from low levels of economic activity and employment.

(CD)