Caffe Nero adds Marlborough to its list of victims as it wins another appeal to stay put

They have done it again.

Caffe Nero Holdings, which has launched coffee shops in towns across the country without first seeking planning consent and then successfully appealing against councils’ refusal, has added Marlborough to its list of victims.

The international company that pays no corporation tax in the UK — and which did not act illegally in any way — has now won 17 such appeals, only ever losing one battle against local councils who opposed expansion by the foreign-based company.

Planning inspector Phil Grainger, who conducted a public inquiry at Marlborough town hall over two days, has quashed an enforcement notice issued by Wiltshire Council against Caffe Nero Holdings’ operation in the High Street and given the company permission to continue to trade.

He has done so on the basis that there was no evidence submitted to him, no report by Marlborough Chamber of Commerce, to show that their take-over of the former Dash fashion store last year has caused any harm to the vitality and viability of Marlborough or its individuality.

In doing so, he has basically rejected Caffe Nero’s claims that its unique presence in market towns inevitably boosted trade, stating that the extensive survey evidence it produced was confused.

And adding that, if anything, Caffe Nero has had a minor influence on High Street retailers, the more so as its position is in the heart of the shopping centre, adjacent to Waitrose and the town’s car parks.

Mr Grainger states: “I conclude as follows.  Looked at in planning terms the change of use from a retail shop to a coffee shop with a retail element has only a limited effect on the individuality of Marlborough.”

“Moreover, there is no policy seeking to protect individuality that might allow other considerations to be taken into account.”

“As for the vitality and viability of the centre, no real evidence of any actual harm has been provided although the coffee shop has now been operating for about nine months.  Whilst the case put by the council and many others may seem common sense, all the hard evidence points in a different direction.”

He adds: “The appellants’ surveys may have their faults and the results may be less clear than suggested.  Nevertheless, in the absence of any contrary evidence other than anecdotes they suggest that on balance any effect of Caffe Nero is more likely to have been beneficial than harmful, albeit only modestly so.”

“On that basis, and having given due weight to policy ED18 (a planning policy), I consider that there can be no serious conflict with development plan policy.  Moreover, even if the benefits were to be regarded as too small or uncertain to comply with policy ED18, then in my view other considerations, in particular national policy as now set out in the Framework (the new government relaxation of controls), would indicate that permission should still be granted.”

In any event, he points out, that if the appeal was dismissed there seems to be a credible fallback position, that Caffe Nero would continue to operate the premises on a Class A1 retail basis only without any prepared food being sold in the premises or for take-away.

The company had claimed it has 3,000 customers a week and that fact made its presence sustainable without serving drinks and food to takeaway customers.

“The council appeared to accept that this would be no more beneficial than the existing operation and that their argument was that such use was not viable,” the inspector adds.

“I therefore intend to quash the notice and grant planning permission in respect of the deemed application.”

Full report and reactions to follow.