Communities and Local Government Secretary Eric Pickles has decided not to call in Cornwall Council’s decision to approve the Truro Eastern District Centre, which means construction work on the scheme is expected to start in early 2013.

The move means Mr Pickles refused a request from the city's MP, Sarah Newton who asked for the application to be called in after receiving "hundreds" of letters from constituants. Mrs Newton said, she was concerned about the arrangements for joint applicants Waitrose and the Duchy of Cornwall to financially support the Taste of Cornwall's planned Cornish Food Centre.

The controversial £40 million project is a partnership between Cornwall Council, the Duchy of Cornwall, Waitrose and local food producer group The Taste of Cornwall. Backers say the plans will create more than 200 jobs, create housing, a park and ride, an energy centre and recycling facilities, while detractors say it will impact city centre trade.

In a close run vote, Cornwall Council’s Strategic Planning Committee approved the scheme on March 8, subject to approval from the Secretary of State. Work on the Park & Ride and Household Waste and Recycling Centre (HWRC) including a major upgrade to the Union Hill junction, is now expected to start early next year and take around a year to complete.

The food centre is expected to open early in 2014, with the new homes completed in phases.

The backers claim that the Truro Eastern District Centre will cut traffic entering Truro from the East and North by 15 per cent, significantly reducing journey times. It will also combine with the Langarth park and ride to provide a continuous cross city service, with a new stop at Quay Street providing access to Lemon Quay.

They also say that The Cornish food hall, operated by The Taste of Cornwall, is expected to generate up to £8 million of additional annual sales for local food and drink producers by co-locating with Waitrose.

Of the new homes, 34 will be classed as affordable.

The scheme will also include small food processing units for local producers, community allotments, a demonstration kitchen garden and the planting of more than 6,000 trees, including fruit and nut varieties.

A biomass energy centre will provide heat and power on site.

Graeme Hicks, Cornwall Council portfolio holder for Transportation and Highways, said: “I am pleased to see that the Secretary of State has supported our plan for an Eastern Park and Ride. The scheme is a cornerstone of the Truro Transport Strategy and its delivery will see journey time savings to all road users. Linking to the successful Langarth Park & Ride it will create a true cross-city service, with a new stop introduced at Quay Street for access to Lemon Quay.

“New pedestrian crossing points at Union Cross and Upland Crescent will improve highway safety for pedestrians. Public access into and through the site also includes a cycleway to Tresillian which I am sure will help us promote walking and cycling locally. I am pleased to see that we are a step closer to realising our ambition.”

Councillor Julian German, Cornwall Council portfolio holder for localism, sustainability and devolution, and local member for the Roseland, said: “I welcome the development of a new HWRC for the city and surrounding areas as it will save over 700,000 miles a year in travel to the existing centres outside Truro and divert an additional 2,000 tonnes of waste material away from landfill.”

Waitrose director of development, Nigel Keen, said: "We are delighted to be coming to Truro and look forward to playing our part in promoting the city as an attractive retail destination. Supporting farmers and growers is core to our philosophy and we believe the Cornish Food Centre concept will help local producers flourish.”

Tim Gray, estate surveyor to the Duchy of Cornwall, said: "The Duchy has been attracted to this scheme because of its sustainable credentials. It will address Truro's transport and recycling needs, reduce carbon dioxide emissions, provide much-needed jobs and housing, and create a new model for local food retailing.

"The impact on Truro and Cornwall will be positive and enduring, and we welcome the Secretary of State’s decision.” However the decision has not been welcomed by the protest group, Save Truro, set up to fight the development.

Writing on its website, Maurice Vella said: "Every member of Truro City Council, every Truro member of Cornwall Council, the Truro Chamber of Commerce, Totally Truro, the market traders, most local residents and shopkeepers were all against this vanity project to build a sporadic isolated development in open countryside beyond the edge of the city, because of the harm it will do to the centre.

"There were far better ways to accommodate a supermarket and houses in the city and Cornwall Council knew that. There are two council owned redevelopment sites in the city centre crying out for this kind of project; will these now be left to rot?

"The Duchy could have offered temporary use of its fields for however many or few years they might be needed for cars. I remember that we were told by a senior highways officer that the Eastern P&R would cease to be useful in less than fifteen years. All this to save a few minutes off a commuter’s car journey, except that commuters will be lucky to find a space in the P&R because most of the spaces will be occupied by people shopping at Waitrose.

"What hope now for localism, local democracy and the neighbourhood plan? How safe is Truro in the hands of this unitary council? Where has real town planning gone? The last is easily answered, it seems to me that developers are far more important than the people of Truro to the officers and members up at County Hall."