The government has given its backing to Walsall Gigaport, a £400m office and technology scheme.

The Secretary of State for Communities and Local Government, Hazel Blears, has decided not to “call in” the outline planning application which had been approved in principle by Walsall Council in October.

Ben Reid, chairman of Walsall Regeneration Company (WRC), said: ‘This is great news and even more significant in the current economic climate.’

The regeneration company hopes the office corridor, with the Walsall College at its heart, will use optical technologies that will enable companies to do business hundreds of times faster than current broadband speeds.

The scheme will include 1.3m sq ft of offices, a 43,056 sq ft data centre, a hotel, and health and sports facilities.