A plan by developer Arrowcroft backed by croydon council for a huge arena in the south London borough has been rejected by the communities secretary.

Hazel blears today told the arena's promoters that she backed an inspectors doubts over the viability of the scheme and its traffic implications.

The council could still, however, be allowed to compulsorily purchase the croydon gateway site from Schroders and stanhope, who are promoting an office scheme there.

This decision is due next week.