The British Property Federation (BPF) has welcomed revisions made to the planning policy statement (PPS6) on town centre development and investment.

The revisions see the reform of the 'needs test', which government believes is a barrier to competition and consumer choice, and its replacement with an 'impact test'.

The new 'impact test' will allow councils to consider a broader range of factors when determining an application.

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Retail diversity, impact of new development on town centre investment, and the scope for regeneration and job creation, will be among a long list of criteria that will now be taken into consideration.

These revisions see a new emphasis placed upon generating healthy competition, while also allowing local authorities to protect the existing character of their town centres.

Jonathan Seager, Senior Policy Officer at the BPF, said: "We fully support the greater emphasis on wider economic factors. This is in line with recent changes consulted upon with regard to PPS 4. Our main concern is about how the changes are to be interpreted by local authorities and developers, which will only become apparent with the publication of guidance. We also wait with interest to see how the government will respond to the Competition Commission's suggested remedies."

(CD/JM)